Interim Management Statement

RNS Number : 3230D

TT electronics PLC

15 May 2012

 



15 May 2012

TT electronics plc

Interim Management Statement

TT electronics plc ("TT" or "the Group"), a global provider of performance critical technology solutions to leading manufacturers, issues this Interim Management Statement based on the trading results for the four months ended 30 April 2012.

As anticipated, sales at constant exchange rates for the four months to April 2012 were in line with the prior year, which is a good performance given the sharp increase in orders in 2011 following the Japanese earthquake. Order receipts have been good during the period, especially for Components and Sensors divisions, with many key account customers outperforming their sectors, providing visibility for a strong second half performance.

As outlined at our recent Capital Markets Day, the business is well-positioned in markets with strong fundamental dynamics where our focus on key customers and delivering innovative solutions will drive growth. We continue to invest to improve the Group's position for the medium and longer term. The closure of the Components USA facility at Boone, North Carolina with a transfer of production to Mexicali, Mexico is on track to be completed during the last quarter.  Production will commence in June at our facility in Romania, being built to accommodate increasing demand. The development of the Sensors business, including a new facility in Mexico and expansion in China, remains on track to deliver benefits from 2013 onwards. The investments being made and our proven ability to provide critical solutions in focus markets support the delivery of targeted margin improvements.

The balance sheet is strong with capacity to invest in the development of the business.  Net debt at 4 May 2012 was approximately £6.5m compared with net cash of £15.2m at the start of the year due to seasonal outflows of working capital and planned capital expenditure.

The Group's performance for 2012 is anticipated to be in line with the Board's expectations, delivering tangible progress against our strategic plan and operating profit margin targets.

Enquiries:

TT electronics plc Geraint Anderson, Group Chief Executive Shatish Dasani, Group Finance Director	Tel:  [phone]
Hudson Sandler Andrew Hayes/Andrew Leach/Wendy Baker	Tel:  [phone]

Note:

This statement contains certain forward-looking statements.  Such statements are made by the Directors in good faith based on the information available to them at the time of the announcement and they should be treated with caution due to the inherent uncertainties underlying any such forward-looking information.

 

END

 

 

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