Full Year Trading Update and Results Notification

RNS Number : 9966A

Hargreaves Services PLC

04 June 2019

 

4 June 2019 

Hargreaves Services plc

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

                               Pre-Close Trading Update and Notification of Preliminary Results

Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, provides the following update on trading ahead of reporting its preliminary results for the year ended 31 May 2019.

Both revenue and Underlying Operating Profit* ("UOP") are expected to show growth over that reported for the year ended 31 May 2018, as a result of improved trading within the Group's wholly owned businesses, with UOP expected to be in line with current market expectations.

The results at UOP level do not include the impact of the provisions made following the insolvency events of Wolf Minerals (UK) Limited in October 2018 and British Steel Limited in May 2019, details of which have been previously announced. Those provisions will be reported as exceptional items. Additionally, in October 2018, the Group completed the disposal of Brockwell Energy Limited, the profit on disposal of which will be reported within Discontinued Operations.

Net debt at the year end was £17.9m, compared to £30.8m as at 31 May 2018.

During the year, conditional sale agreements have been exchanged in respect of the first two plots at the Group's key residential development site, Blindwells, near Edinburgh. The value of these two transactions, which are expected to reach legal completion in the year ending 31 May 2020 is over £10m.

These contract successes demonstrate the positive momentum behind the Blindwells development and contribute to the Board's confidence in the Group's future trading prospects.

Notification of Preliminary Results

The Group expects to report preliminary results for the year ended 31 May 2019 on Wednesday 31 July 2019. A briefing for analysts will be held at 11.00am on the morning of the results at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For more information on the briefing, please contact Buchanan on 020 7466 5000 or email [e-mail].

*Underlying Operating Profit is defined by the Board as Operating Profit prior to exceptional items, amortisation and impairment of intangible assets and includes the Group's share of the operating profit of its German associate. It is a key indicator used by the Board to measure business performance.

For further details: 

Hargreaves Services plc Gordon Banham, Chief Executive John Samuel, Group Finance Director	0191 373 4485
Buchanan (Financial PR) Mark Court/Sophie Wills/Henry Wilson	0207 466 5000
N+1 Singer (Nomad and Joint Corporate Broker) Sandy Fraser/Justin McKeegan/Rachel Hayes	0207 496 3000
Investec (Joint Corporate Broker)                                                            0207 597 5970 Sara Hale/Richard Short

 

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