Last checked at 24 Jan 2024 07:00
24 January 2024
TI Fluid Systems plc
Post Close Trading Update 2023
Double-Digit Growth and Strong Financial Performance
TI Fluid Systems plc (the "Group"), a global industry leader in highly engineered automotive fluid storage, carrying, delivery and thermal management systems, issues a trading update for the year ended 31 December 2023 ("FY23"), ahead of publishing full year results on 12 March 2024.
The Group continued to perform strongly in the fourth quarter of 2023, with full year margin expansion driven by commercial performance combined with cost reduction actions. These were partially offset by inflation, volatility in customer demand and adverse currency movements. Therefore, we are pleased to report that FY23 results are expected to be slightly ahead of expectations:
· Revenue of approximately ?3.5 billion, representing year-on-year double-digit growth on a constant currency basis
· Adjusted EBIT margin expansion to approximately 7.4%
· Strong adjusted free cash flow of approximately ?140 million, a conversion of circa 35% of adjusted EBITDA
During 2023, we have made good progress towards our mid-term targets for revenue of ?3.8-4.2 billion and a return to a double-digit adjusted EBIT margin. Longer-term, we are confident that the business is well-positioned to capitalise on the opportunities of electrification while leveraging the strengths of our conventional portfolio to drive sustainable, profitable long-term growth. We will provide our 2024 outlook when we report FY23 results.
Enquiries:
TI Fluid Systems plc Kellie McAvoy Investor Relations Tel: +44 7354 846374
Headland Consulting Matthew Denham Chloe Francklin Tel: +44 20 3805 4822
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Cautionary statements
This announcement is based on unaudited provisional results for the year ended 31 December 2023. This announcement also contains certain forward-looking statements with respect to the financial condition, results of operations and business of TI Fluid Systems plc . The words "believe", "expect", "anticipate", "intend", "estimate", "forecast", "project", "will", "may", "should" and similar expressions identify forward-looking statements. Others can be identified from the context in which they are made. By their nature, forward-looking statements involve risks and uncertainties, and such forward-looking statements are made only as of the date of this announcement. Accordingly, no assurance can be given that the forward-looking statements will prove to be accurate, and you are cautioned not to place undue reliance on forward-looking statements due to the inherent uncertainty therein. Past performance of the Group cannot be relied on as a guide to future performance. Nothing in this announcement should be construed as a profit forecast.
About TI Fluid Systems plc
TI Fluid Systems is a global innovator of thermal and fluid system solutions for the full range of current and developing vehicle architectures. Serving all major automotive manufacturers, with more than 100 years of automotive supply experience; TI Fluid Systems operates across 27 countries with a commitment to improving efficiency, performance and sustainability worldwide. To find out more about TI Fluid Systems, visit www.tifluidsystems.com.