Interim Management Statement

RNS Number : 7891Z

Acal PLC

24 July 2008

 



FOR RELEASE                             11:00AM                           24 JULY 2008

ACAL plc 

(Leading pan-European, value-added technology based distributor 

providing specialist design-in, sales and marketing services)

INTERIM MANAGEMENT STATEMENT

PERIOD COMMENCING 1 APRIL 2008

Acal plc is today issuing its Interim Management Statement which covers the period commencing 1 April 2008 to date and includes trading during the quarter ended 30 June 2008.

Current Trading

As global economic uncertainty has continued, trading conditions in our markets are increasingly challenging.  Overall Acal's sales in the quarter ended 30 June 2008 were at a level similar to that in the corresponding period in the previous year.  Profitability of the Electronics division in this quarter has held up as compared to the corresponding quarter in the previous year, whilst that of the Parts Services division was significantly impacted by weaker margins and initial costs relating to a new contract which commenced in May 2008.

Our core businesses of Electronics and Parts Services continue to have opportunities to grow, organically by increasing market share and by acquisition.

In the near-term the current economic uncertainty is likely to continue to affect trading conditions in our markets. However we have substantial cash resources and therefore in the longer term we are well placed to take advantage of opportunities to grow and develop the business.

There have been no material events or transactions affecting the Group during the period covered by this Interim Management Statement.

Review of Strategic Options

On 12 May 2008 we wrote to Acal's shareholders with a copy of an announcement about our review of the strategic options available for the development of the Company's business. The Board announces that all discussions which could have led to an offer being made for the company have been terminated.  

The Board will continue to assess how best to take the business forward. This assessment will consider how to utilise the Group's strong balance sheet position for the development of the group.

Management

The Board of ACAL announces that Tony Laughton, who has been Chief Executive since 2001, is stepping down as Chief Executive and a member of the Board with immediate effect.  

A search for his replacement is commencing and in the interim Richard Moon, Chairman of ACAL, will assume certain executive responsibilities in order to assist with running the business.

Acal plc's Annual General Meeting is taking place today.

For further information:-

Richard Moon ~ Chairman    Jim Virdee ~ Finance Director   Brian Coleman-Smith/James Verstringhe/Nicola Krafft Cubitt Consulting

01483 544500 01483 544500 020 7367 5100

Notes to the Interim Management Statement

 

(a)      This Interim Management Statement has been prepared solely to provide additional information to the
           shareholders of Acal plc, as a body, in order to meet the requirements of the UK Listing Authority's
           Disclosure and Transparency Rules.

(b)      The Interim Management Statement may contain forward-looking statements which:

• 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 statement; and

• should be treated with caution due to inherent uncertainties, which are beyond Acal's ability to control or estimate precisely and include both economic and business risk factors, underlying such forward looking information.

Notes to Editors:

1.       The Acal Group is a leading European technology based distributor providing specialist design-in,
          sales, marketing and other services through two divisions:  Electronics and Parts Services. Its value-added
          philosophy and geographic coverage enables Acal to provide specialist knowledge and support to
          customers on a pan-European basis.

2.       Acal has operating companies in the UK, Netherlands, Belgium, Germany, France, Italy, Spain and
          Scandinavia. Westech Electronics, an associated company, is based in Singapore and covers the Far East
          region. 

 

 

END

 

 

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