Interim Management Statement

RNS Number : 6728N

Victrex PLC

30 July 2014

 



 

                                               

30 July 2014

Victrex plc - Interim Management Statement

"Strong and broad based performance continues - trading in-line with expectations"

Victrex plc, an innovative world leader in high performance polymer solutions, today releases its Interim Management Statement for the period 1 April 2014 to date.

Victrex continued its strong and broad based performance during the period. Third quarter Group sales volume, covering the period 1 April to 30 June, of 911 tonnes was 21% ahead of the prior year (Q3 2013: 756 tonnes), which reflects continued momentum in our core Victrex Polymer Solutions (VPS) business, good growth in Speciality Products and some new business in the Consumer Electronics market. Year to date sales volume of 2,495 tonnes was up 16% on the prior year (Q3 2013 YTD: 2,147 tonnes). In our Invibio medical business, Q3 revenue was 3% ahead of the prior year period, which saw the start of recovery in the Spine market.

Our Consumer Electronics opportunity, as highlighted at our interim results, will come through at a slightly softer margin than typical VPS business. As shorter lifecycle business, it will also be hedged at less favourable currency rates than the rest of the Group. Consumer Electronics has, historically, been one of the shorter lifecycle portions of the Group's portfolio, compared to our other longer lifecycle, high margin and high volume opportunities which we are focusing on. This opportunity, together with the current growth trends across core VPS and Speciality Products, keeps us well placed to continue our growth momentum through the rest of the second half and into 2015, with fourth quarter trading to date remaining positive across our business.

Looking forward, Sterling has continued to strengthen since our interim results in May and remains a considerable headwind for our next financial year. Our new capacity investment continues to be on track for commissioning in early 2015, to underpin core growth and new business opportunities and, despite our high capital expenditure programme, the Group's cash position remains strong. There have been no significant changes to the Company's financial position since our interim results announcement.

With our growth momentum remaining strong and a robust outlook across our markets, we continue to trade in line with market expectations.

Enquiries:

Victrex plc:

Andrew Hanson, Head of Investor Relations                                                          [phone]

Louisa Burdett, Group Finance Director                                                                [phone]

MHP Communications:

Nick Denton / James White                                                                                [phone]

About Victrex:

Victrex is an innovative world leader in high performance polymer solutions focused on the Aerospace, Automotive, Electronics, Energy and Medical markets. Every day, millions of people rely on products or applications which contain our polymers, from smartphones, aeroplanes and cars to oil & gas operations and medical devices. With over 35 years' experience, we are investing in technical excellence to deliver leading edge solutions to our customers and our markets, and to drive value for our shareholders. Find out more at www.victrexplc.com

Investor and analyst call:

A call for investors and analysts will be held today, Wednesday 30 July at 09.00 UK time. For dial in details please contact James White at MHP Communications, [e-mail] or [phone]

Next announcement:

Victrex will release its full year trading update on Thursday 9 October 2014.

 

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