Half-year trading update and notice of results
Updated : 07:00
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28 July 2022
Epwin Group Plc
("Epwin" or the "Group")
Half-year trading update and notice of results
Good half year trading performance, confident of achieving expectations
Epwin Group Plc (AIM: EPWN) ("Epwin" or the "Group"), the leading manufacturer of energy efficient and low maintenance building products, supplying the Repair, Maintenance and Improvement ("RMI"), new build and social housing sectors, announces its half-year trading update in respect of the year ended 31 December 2022.
Trading update
Trading conditions remained robust during the first half of 2022 with the Group performing well with revenues 13% ahead of a strong 2021 comparative period at £178.0 million, predominantly driven by pricing to recover input costs.
Raw material costs continued to increase in the first half, with PVC resin hitting an all-time high in April, although this has subsequently plateaued. Despite disruption to the supply chains in the wider market, the Group has been able to secure sufficient raw materials to meet demand and expects to be able to continue to do so. The Group continues to work with its customers to pass-on heightened costs in an equitable manner through price increases and surcharges.
The Group retains a strong balance sheet to support its strategic objectives, including value enhancing acquisitions. Covenant net debt at 30 June 2022 has reduced to £7.3 million (31 December 2021: £9.4m) which is 0.3x adjusted EBITDA, providing the Group with in excess of £65 million of headroom on its facilities.
Outlook
Whilst trading conditions have moderated slightly in June and July, and although also mindful of the wider macro-economic conditions, the Board remains confident of achieving expectations in 2022.
Notice of results
The Group expects to announce its results for the half-year ended 30 June 2022 on 14 September 2022.
Jon Bednall, Chief Executive Officer, said:
"I am pleased to report a good trading performance in the first half. We remain confident of achieving our expectations in 2022, underpinned by ongoing proactive management of the raw material cost. Looking further ahead, the medium and long-term drivers for the Group's products remain positive."
Contact information
Epwin Group Plc Jon Bednall, Chief Executive Chris Empson, Group Finance Director
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0203 128 8168 |
Shore Capital (Nominated Adviser and Joint Broker) Corporate Advisory Daniel Bush / Iain Sexton
Corporate Broking Fiona Conroy
Zeus Capital Limited (Joint Broker) Dominic King / Nick Searle
| 0207 408 4090
0203 829 5000
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MHP Communications Reg Hoare / Charlie Barker / Pauline Guenot | 0203 128 8168 epwin@mhpc.com
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About Epwin
Epwin is the leading manufacturer of energy efficient and low maintenance building products with significant market shares, supplying the Repair, Maintenance and Improvement ("RMI"), new build and social housing sectors.
The Company is incorporated, domiciled and operates principally in the United Kingdom.
Information for investors can be accessed www.epwin.co.uk/investors/
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