Titon Holdings reports 'strong' Q4 recovery following shutdown

Manufacturer Titon Holdings said on Friday that it had experienced a strong fourth quarter recovery after suspending operations in March due to the Covid-19 pandemic.

Titon now expects revenues for the 12 months ended 30 September to be in the region of £21.0m, a decline of approximately 23% year-on-year.

The AIM-listed group also highlighted that sales across the UK, Europe and South Korea were "significantly impacted" by the pandemic and resulting disruptions to production and trading.

However, Titon also pointed out that trading had recovered ahead of expectations, particularly in the fourth quarter and its ventilation systems division.

Titon ended the financial year with cash balances of approximately £4.5m and no debt.

Chairman Keith Ritchie said: "It is impossible to predict what the next 12 months will throw at us. The on-going pandemic and public health restrictions to tackle it, are likely to continue to impact the economies and therefore housing markets, for our customers wherever they are based.

"These factors give us reason for short-term caution but, in the longer term, there is a continuing focus on good indoor air quality in the UK and Europe, which we believe will lead to increased sales, particularly of our mechanical ventilation products."

As of 0850 BST, Titon shares were up 9.51% at 89.25p.