Trading Update, Notice of Results & Acquisitions

RNS Number : 9982X

Marlowe PLC

10 May 2021

 

10 May 2021

Marlowe plc

Year End Trading Update, Notice of Results and Acquisitions

Marlowe plc ("Marlowe" or the "Group"), the UK leader in business-critical services and software which assure safety and regulatory compliance, provides the following trading update for the financial year ended 31 March 2021 and announces three bolt-on acquisitions.

Year End Trading Update

Trading in the second half of the financial year was strong and the Group expects to report FY21 results ahead of market expectations with adjusted EBITDA expected to be in excess of £28m. The Group has also delivered further margin expansion and strong underlying cash generation. Reflecting the impact of recent acquisitions, current Group run rate adjusted EBITDA is approximately £39m.

The new financial year has started well, with significant demand experienced across all business units in April. The integration programmes of all acquisitions made during the year remain on track with synergies in line with expectations. Our pipeline of earnings-enhancing acquisitions remains well developed.

The Group intends to publish its final results for the financial year ended 31 March 2021 in mid-June 2021.

Acquisitions

Marlowe also announces it has acquired three businesses which deepen its presence in existing markets: Integral Occupational Health Limited ("Integral"), Agriteck Solutions Limited ("Agriteck") and the assets of One Price Fire Protection Limited ("One Price").

Integral, an occupational health provider based in Glasgow, was acquired for a total consideration of £2.4m, comprising a £2.2m upfront consideration and a deferred element of £0.2m. Established in 2009, Integral provides occupational health services to both public and private sector organisations across Scotland. For the year ended 31 January 2021, Integral generated £1.7m of revenues, £0.5m of EBITDA and had net assets of £0.6m.

Agriteck, a water treatment business, and the assets of One Price, a fire safety business, have been acquired for a combined expected enterprise value of £0.6m.

For further information:

Marlowe plc		www.marloweplc.com
Alex Dacre, Chief Executive		Tel: [phone]
Mark Adams, Group Finance Director		[e-mail]
Cenkos Securities plc (Nominated Adviser and Joint Broker)
Nicholas Wells		Tel: [phone]
Ben Jeynes
Berenberg (Joint Broker)		Tel: [phone]
Mark Whitmore Ben Wright
Yudith Karunaratna
FTI Consulting
Nick Hasell
Alex Le May		Tel: [phone]

About Marlowe plc

Marlowe is a UK leader in business-critical services and software which assure safety and regulatory compliance. The company was formed to create sustainable shareholder value through the acquisition and development of businesses that provide regulated safety and compliance services. It is focused on health & safety, compliance software, employment law & HR compliance, fire safety, security, water treatment & air hygiene and occupational health services - all of which are vital to the wellbeing of its customers operations and are invariably governed by regulation. Marlowe currently provides services to over 15% of Britain's commercial premises and is increasingly attractive to customers who require a single outsourced, nationwide, provider of a comprehensive range of regulated compliance and safety services. Our customers can be found in most office complexes, high streets & leisure facilities, manufacturing plants and industrial estates, and include thousands of SMEs, local authorities, facilities management providers, multi-site NHS trusts and FTSE 100 companies.

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (as amended), which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018. Upon publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

 

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