Last checked at 7 Apr 2016 07:00
7 April 2016
Victrex plc: H1 pre-close trading update
'On track for expected H2 improvement'
Victrex plc, an innovative world leader in high performance polymer solutions, today releases its first half year (H1) and pre-close trading update ahead of its interim results on 16 May 2016.
In line with the Group's guidance at its Q1 IMS, Victrex's first half year performance was down on the prior year. Q2 was robust with volumes excluding Consumer Electronics flat compared to the record prior year, despite the weaker performance in Oil & Gas.
The re-phasing of Consumer Electronics volumes to the second half year (H2), together with the tougher first half comparatives and worsening outlook in Oil & Gas, led to Group revenue declining by 11% to £117.0m (H1 2015: £131.6m). H1 Group volumes were down 13% to 1,770 tonnes (H1 2015: 2,028 tonnes).
We remain encouraged that the performance in our industrial markets outside of Electronics and Oil & Gas was solid, with Transport markets in growth. In our Medical business (Invibio), performance in our core Spine market was broadly similar to the prior year. Invibio revenue for the first half was £25.2m (H1 2015: £25.9m).
Our expectation for an improved second half year reflects both the robust Q2 performance and the re-phasing of Consumer Electronics volumes. Consumer Electronics volumes will be phased well into the second half, ahead of product launch cycles. This opportunity remains attractive for the current year and we expect to have a better view on the scale of volumes by our May interim results. This will provide a clearer view of whether Consumer Electronics has the potential to be similar to the second half of 2015.
David Hummel, Chief Executive of Victrex, said: "We retain our view of an overall improvement in the second half and are comfortable with current expectations for the full year as a whole."
Enquiries:
Victrex plc:
Andrew Hanson, Head of Investor Relations & Communications +44 (0) 1253 898121
Louisa Burdett, Group Finance Director +44 (0) 1253 897700
Teneo Strategy:
Charles Armitstead +44 (0) 203 603 5220
About Victrex:
Victrex is an innovative world leader in high performance polymer solutions, focused on the Automotive, Aerospace, Energy, Electronics and Medical markets. Every day, millions of people rely on products or applications which contain our materials, from smartphones, aeroplanes and cars to oil & gas operations and medical devices. With over 35 years' experience, we are investing in leading edge solutions to shape future performance for our customers and our markets, and to drive value for our shareholders. Find out more at www.victrexplc.com