Last checked at 20 Nov 2017 07:00
20 November 2017
TT Electronics plc
Trading Update
TT Electronics ("TT" or the "Group"), a global provider of engineered electronics for performance critical applications, today publishes this trading update for the four months to the end of October 2017.
Trading for the Group has been positive, with the growth trends experienced in the first half in Sensors and Specialist Components and Power Electronics continuing, and with Global Manufacturing Solutions returning to growth in the period as expected. Group revenue is up 6% on an organic1 basis compared to the prior year.
The Group's order book across all three divisions continues to be strongly ahead of the prior year. Our order book strength is a positive indicator for the balance of the year and into the first quarter of 2018.
During the period we completed the sale of the Transportation Sensing and Control (TS&C) division, receiving a total cash consideration of £123.5 million, moving the Group into a net cash position.
As part of the separation, we have announced the closure of our Global Manufacturing Solutions site in Romania, which was shared with the TS&C division. We will move the lines to Rogerstone, Wales and Suzhou, China rather than incur the costs of establishing a new facility, further simplifying our footprint. The site closure is anticipated in the first half of 2018.
Summary and Outlook
Commenting on the trading update, Richard Tyson, Chief Executive Officer said:
"2017 has been a significant year for TT, with the disposal of the Transportation division completed in October. We will use the proceeds to make further investments to accelerate our growth through capital investment and acquisitions.
As well as executing substantial portfolio change, we are delivering strong growth in the continuing business. We remain on track to deliver further progress in 2017, in line with expectations. We are excited about the prospects for TT."
For further information please contact: | |
TT Electronics plc | Tel: +44 (0)1932 825 300 |
Richard Tyson, Chief Executive Officer Mark Hoad, Chief Financial Officer Emma Darke, Head of Investor Relations and Communications | |
MHP | Tel: +44 (0)20 3128 8100 |
Tim Rowntree / Katie Hunt / Ivana Petkova | |
Notes:
1 Excluding the impact of exchange rates, acquisitions and disposals. | |
About TT Electronics
TT Electronics is a global provider of engineered electronics for performance critical applications. The Company works with market-leading customers in the industrial, aerospace and defence, medical, and transportation sectors. TT has three divisions, Sensors and Specialist Components, Power Electronics and Global Manufacturing Solutions.
The product offerings in the Sensors and Specialist Components division include circuit protection, current sensing, signal conditioning, optoelectronics, and sensors for torque, position, pressure, flow and temperature. The Power Electronics division typically designs and manufactures specialist, high reliability electronic components and sub-assemblies supplying into power management, engine controls and connectivity systems. The Global Manufacturing Solutions division provide high mix low volume manufacturing solutions for products in a wide range of end applications ranging from medical devices, to power control modules used in rail transport infrastructure.
Cautionary statement
This trading update contains forward-looking statements. These have been made by the directors in good faith based on the information available to them up to the time of their approval of this update. The directors can give no assurance that these expectations will prove to have been correct. Due to the inherent uncertainties, including both economic and business risk factors underlying such forward looking information, actual results may differ materially from those expressed or implied by these forward-looking statements. The directors undertake no obligation to update any forward-looking statements whether as a result of new information, future events or otherwise.