Halma PLC
27 October 2005
Halma p.l.c.
TRADING UPDATE
Halma, the leading safety, health and sensor technology group, issued a trading
update today, 27 October 2005. Halma issues trading updates each October and
April, ahead of its interim and full year announcements. Halma's interim
results for the six months to 1 October 2005 will be announced on 6 December
2005.
Good sales and orders momentum
The Group's trading performance in the first half has been in line with
expectations and the Board remains confident of the Group's prospects for the
full year.
Sales and orders for the first half were usefully ahead of last year. Although
costs continued to be incurred to increase opportunities for the longer term,
our product margins remained solid and there was underlying organic profit
growth.
Process Safety and Optics & Specialist businesses performed strongly.
Investment increased in Fire & Gas and in Elevator & Door Safety to improve
their longer-term growth prospects. The recovery of our Water and Resistors
businesses is going to plan.
Cash flow was in line with our normal trading patterns and we ended the half-
year net cash positive.
Focussed acquisition and disposal actions are ongoing
We sold one of our smaller specialist businesses, SEAC Limited, to SEAC Holdings
Limited for £1.25 million, and we exited the unprofitable Resistor Transit
contracts as indicated earlier in the year. The small net loss and the goodwill
write-off associated with these actions will be reported separately in the
Income Statement this half year.
The acquisitions completed in the first half, Radio-Tech and Netherlocks, are
both trading in line with expectations.
Simplified Reporting Sectors to be introduced immediately
Commencing with the 2005/6 interim results, Halma will report segmental results
under three business sectors:
• Infrastructure Sensors (including Fire, Elevator & Door Safety)
• Analysis (including Optics, Fluid Technology and Water)
• Industrial Safety (including Gas, Process Safety and Resistors)
The main reasons for this change are to:
• group businesses with similar market growth rates, market drivers and
operating characteristics, whilst improving the opportunities for
technical and commercial collaboration within the Group;
• make ongoing communication of the Group's business and strategy more
transparent to stakeholders.
A reconciliation of Halma's historic results under the three new business
sectors will be published on 28 November 2005 in advance of our half-year
results announcement.
For further information, please contact:
Halma p.l.c. Tel: +44 (0)1494 721111
Andrew Williams, Group Chief Executive
Kevin Thompson, Group Finance Director
Hogarth Partnership Limited Tel: +44 (0)20 7357 9477
Rachel Hirst/Andrew Jaques
A copy of this announcement, together with other information about Halma, may be
viewed on its website: www.halma.com
This information is provided by RNS
The company news service from the London Stock Exchange
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