Ahead of today’s AGM, Chloride Group PLC (“Chloride” or the “Company”) provides the following interim management statement covering trading since the year end.
Chloride is pleased to report that trading since 31 March 2008 has continued in line with management’s growth expectations, following the positive market trends of last year. These trends, together with the success of Chloride’s industry-leading secure power solutions, enabled the Company to deliver strong organic growth in orders, sales and operating profit in the last financial year.
The product order book increased further from the record levels at the start of the year and, as anticipated, service revenues continue to grow strongly, demonstrating the importance of our total solutions approach to our customers.
The Company continues its positive momentum in Europe where it enjoys a market leading position, whilst investments for future growth in Russia, Brazil, SE Asia and Central Asia are all progressing well.
Operating cash flow remains strong and net debt has been reduced, increasing our cash resources for further investment in the business.
On 2 June 2008 we announced that agreement had been reached to increase our shareholding in DB Power Electronics, which serves India’s buoyant financial services, telecoms, IT and energy market sectors. The increase to a 90% shareholding will take place by July 2009. The first stage of the transaction was completed in early July 2008, increasing our holding from 32% to 49%.
With effect from today, Tim Cobbold takes over as Chief Executive and Keith Hodgkinson steps down from the Board after 17 years’ service. He will continue in an advisory capacity until his retirement in November. Under Keith’s leadership, Chloride has been transformed into a focused secure power solutions company, with a proven strategy for growth in expanding markets. We are very grateful to Keith for his leadership and clear vision over this exciting period.
Robin Southwell, who has been a non executive director since 2002, also retires as a director today, and we thank him for his contribution over the last six years. We wish Keith and Robin well for the future.
Commenting, Chairman Norman Broadhurst said: “As expected, the first quarter trading has continued on from our record last year when we increased market share in dynamic global markets, driven by continued high levels of demand in data centres, energy and oil & gas. We enter the second quarter with confidence, underpinned by good sales growth and a strong order book. We continue to focus on expanding our capabilities through complementary acquisitions that support our growth objective.”
Enquiries:
Chloride Group PLC
T: +44 (0) 20 7881 1440
Tim Cobbold (Chief Executive)
Neil Warner (Finance Director)
Hudson Sandler
T: +44 (0) 20 7796 4133
Andrew Hayes/Kate Hough