Update

RNS Number : 9251N

Sprue Aegis plc

01 November 2016

 

1 November 2016

Sprue Aegis plc 

("Sprue", the "Company" or the "Group")

update

The Board of Sprue is pleased to provide an update on a number of recent developments.

lAUNCH of NEW wi-safe connect product range

Sprue recently launched its new Wi-Safe Connect product range at Europe's largest safety and security show in Essen, Germany to positive customer feedback.  Wi-Safe Connect is an innovative and intelligent, cloud-based alarm notification and network management system which utilises the Intamac source code acquired by the Company in September 2016.

Wi-Safe Connect is a professional "B2B" management system comprising Sprue's own FireAngel and SONA branded Wi-Safe 2 enabled products* connected to the internet via a small gateway plugged into a hub via an Ethernet cable.  Sprue's products store unique diagnostic information which is sent over the internet to a laptop or smart phone where a personalised dashboard provides instant alerts to the user.

Wi-Safe Connect is ideal for customers who require real time monitoring and status notification of single or multiple networks of alarms.   Networks are easily scalable and can be expanded by adding additional devices.

Commenting on the launch of Wi-Safe Connect, Graham Whitworth, Executive Chairman, said:

"Wi-Safe Connect provides customers with significant cost savings from being able to remotely monitor installed networks of products rather than having to physically inspect alarms annually during the ten year life.  This new product proposition moves Sprue into the connected homes market for the first time and I am delighted to hear such positive customer feedback following the show." 

Products* include both mains and battery powered smoke, heat and carbon monoxide alarms, plus Sprue's own hearing and visually impaired devices

LAUNCH of carbon monoxide awareness campaign in france

Sprue recently launched "Un Cri d'alarme", an integrated television, radio and digital regional and national marketing campaign to raise awareness of CO in France.  The campaign was developed "in-house" by the Company's Marketing & Creative Team.

In the first week of the campaign, and albeit from a relatively low sales base, weekly sales "through the till" of Sprue's CO products doubled. 

"Un Cri d'alarme" is supported by a number of leading French retailers, including Carrefour and Castorama, who, together with Sprue, are seeking to significantly increase awareness of the dangers of CO across approximately 21 million homes in France.  The campaign follows on from the Company's highly successful "Project Shout" and "Go with CO" campaigns in the UK which increased awareness of the danger of CO in the home and contributed to the 68% increase in the Company's UK Retail sales in H1 2016 to £7.5m (H1 2015: £4.5m).

Commenting on the launch of the marketing campaign in France, Neil Smith, Chief Executive Officer, said:

"We estimate that only 5% of the 26 million homes in France currently have a CO alarm installed compared with approximately 28% of homes in the UK. We are optimistic that the increased marketing activity combined with our leading brands in France will significantly drive CO sales in this important emerging market.  By increasing the awareness of the dangers of CO, there is no doubt that our products will continue to save lives by protecting people from the odourless, tasteless and invisible killer, which is CO."

Germany update

As expected, Sprue recently secured further orders with an aggregate value of €1.7m which will be shipped before 31 December 2016 to its principal German customer, EPS.  The Board is pleased with the sales growth into Germany since the introduction of Sprue's certified products with a Panasonic battery which is driving revenue and building on Sprue's reputation for high quality products.  The Board believes that Sprue is well positioned for further sales growth into Germany.

SPRUE'S RANGE OF FIREANGEL CARBON MONOXIDE DETECTORS SECURES WHICH? Magazine BEST BUY STATUS

The widely read and respected consumer magazine Which? has tested a wide range of 16 different CO detectors in the UK across various brands with Sprue's range of FireAngel CO alarms all receiving Best Buy status.

Graham Whitworth, Executive Chairman, commented:

"We are delighted at the recognition from Which? magazine which reflects our continued commitment to design and manufacture products to the highest possible standards and performance." 

For further information, please contact:

Sprue Aegis plc	02477 717700
Graham Whitworth, Executive Chairman Neil Smith, Group Chief Executive John Gahan, Group Finance Director
Stockdale Securities	0207 601 6100
Tom Griffiths

Notes to Editors

About Sprue Aegis plc

Sprue's mission is to protect, save and improve our customers' lives by making innovative, leading edge technology simple and accessible.

Sprue is one of the market leaders in the European home safety products market and is now launching its own connected homes product proposition.  Its principal products are smoke alarms, CO alarms and accessories and the Group has an extensive portfolio of patented intellectual property. Sprue has patented its technology in Europe, the US and other selected territories. 

The introduction of new technologically advanced products and new safety products legislation in the UK and in Europe, and increasing levels of awareness of the dangers of smoke and CO, continue to drive sales.

Sprue manufactures CO sensors at its subsidiary, Pace Sensors for use in its CO alarms.  All other manufacturing and product assembly is outsourced to two principal third party contract manufacturers in China, one of which is Newell Brands (which acquired Jarden Corporation earlier this year) which owns 23.4% of the Company's issued share capital and Pace Technology which is independent from Newell Brands. 

Sprue enjoys a leading sales footprint in UK Retail and the UK's Fire & Rescue Services ("UK F&RS").  The Group also supplies the UK's Utility sector which includes customers such as British Gas and Scottish Gas and has a well-established but relatively low market share of the UK Trade sector.   Sprue has significant sales into Continental Europe mainly selling through a network of independently owned third party distributors.

The Group has won a number of prestigious Sunday Times Virgin Fast Track 100 Awards, which recognises the 100 fastest growing companies in the UK.  Sprue's head office is in Coventry and it has a second office in Gloucester.   Distribution centres are located in Cambridge and Gloucester.

Sprue's range of products is comprehensive, allowing the Group to tailor the range of smoke alarms, CO alarms and accessories to suit its customer needs at various price points under the following brands:

Ø  FireAngel.  A market-leading and innovative battery operated range of smoke and CO alarms principally targeted at UK Retail and UK F&RS.

Ø  AngelEye.  Launched in 2012, Sprue sells smoke alarms and CO detectors principally into the French market under the AngelEye brand which has become a leading brand targeted at the DIY channel in France.

Ø  SONA.  A new, low power consumption mains-powered range of smoke and heat alarm products plus CO detection that are market leading and which can be wirelessly interconnected with up to 50 products on a single network.

Ø  FireAngel Pro.  Mains-powered smoke and heat alarms with a 10 year, sealed for life lithium battery back-up.  Modern design, quick fitting, tamper-proof mounting plate which locks the alarm head securely in place. 

Ø  Wi-Safe Connect.  Wi-safe Connect provides customers with significant costs savings from being able to remotely monitor installed networks of products rather than having to physically inspect alarms each year during the ten year life of the products.  This moves Sprue into the connected homes market for the first time and is an exciting development for the business.

Ø  Pace Sensors.  CO sensors used within Sprue's CO products are developed by Sprue and Pace Sensors, Sprue's wholly owned subsidiary in Canada. Pace Sensors' CO sensors are used within all FireAngel, AngelEye and Pace Sensors CO detectors and certain First Alert and Dicon branded CO detectors.

Sprue is the exclusive European distributor for BRK Brands Europe Limited, (a subsidiary of Newell Brands) in Europe namely, First Alert, BRK and Dicon.  First Alert is one of the leading safety products brands in North America.

For further product information, please visit:  www.sprue.com.

 

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