Premier Technical Services Grp PLC – Final Results

Premier Technical Services Group PLC , the niche specialist services provider, announces its final results for the year ended 31 December 2018.

Key highlights

• Group revenue up 31% to £69.1m (2017: £52.9m).
• Strong underlying organic revenue growth of 19%.
• Gross profit up 29% to £35.0m (2017: £27.1m).
• Adjusted operating profit* increased 40% to £14.9m (2017: £10.6m).
• Adjusted profit before tax** up 40% to £14.3m (2017: £10.2m).
• Adjusted EPS* up 22% to 11.86p (2017: 9.73p).
• Final dividend increased by 13% to 0.90p (2017: 0.80p).
• Successful equity raise of £20m (before expenses) to support acquisitions.
• Two acquisitions completed in the year both continue to perform well:
  – M&P Fire Protection Ltd, enhancing the Group’s scale and geographic coverage in its sprinkler and dry risers operations.  Fully integrated and trading significantly ahead of the acquired business with a strong order book and pipeline.
  – Guardian Electrical Compliance Limited, increasing our already strong presence in the electrical safety services market.  Guardian has traded well since acquisition and is now expanding into Scotland and increasing its remedial offering.  Guardian’s proprietary software platform, TraQ-it software will be combined with PTSG Clarity to strengthen the Group’s service offering to our customers.
• Renewal rate remained high at 88% coupled with strong performance from the Group sales team.
• Acquisition of Trinity Fire and Security Systems Limited on 21 January 2019.  This transformational acquisition will significantly extend PTSG’s Fire Solutions division to offer a full suite of fire protection services.

*before adjusting items of £10.5m (2017: £8.3m) resulting in a statutory operating profit of £4.4m (2017: £2.4m) and eps of 2.77p (2017: 1.37p)
**before adjusting items of £10.5m (2017: £8.3m) resulting in a statutory profit before tax of £3.7m (2017: £1.8m)

John Foley, Chairman of Premier Technical Services Group PLC commented

“The second half of 2018 saw the Group make two further acquisitions, raise fresh equity proceeds of £20m and continue to deliver further healthy levels of organic turnover and profit growth. As a result of all these factors, I am pleased to report that record levels of turnover, gross profit, adjusted EBITDA and adjusted earnings per share were achieved in the year. Subsequent to the year end we announced the acquisition of Trinity Fire and Security Systems Limited, which greatly increases the size and offering of our Fire Solutions Division and percentage of turnover from recurring and maintenance activities. 2019 has started well as we continue to deliver against our strategy to seek sector dominance in the markets we serve, and the Board is both confident and enthusiastic about the Group’s prospects and performance.”