Renew Holdings PLC – Final Results
Renew (AIM: RNWH), the Engineering Services Group supporting UK infrastructure, announces results for the year ended 30 September 2019, another record set of results, achieving both growth in revenue and operating profit during the year, in part reflecting a full year’s contribution of QTS, acquired in May 2018.
Financial Highlights
|
|
2019 |
2018 |
|
Group revenue1 |
£600.6m |
£541.5m |
|
Adjusted operating profit1 |
£38.3m |
£31.1m |
|
Adjusted operating margin1 |
6.4% |
5.7% |
|
Profit before tax |
£27.0m |
£14.7m |
|
Adjusted earnings per share1 |
40.4p |
35.5p |
|
Full Year dividend per share |
11.5p |
10.0p |
1 Renew uses a range of statutory performance measures and alternative performance measures when reviewing the performance of the Group against its strategy. Definitions of the alternative performance measures, and a reconciliation to statutory performance measures, are included in note 8.
Operational Highlights
· Engineering Services revenue1 grew 21 per cent to £564.5m (2018: £466.5m)
· Engineering Services adjusted operating profit1 increasing by 21 per cent to £39.4m (2018: £32.5m)
– Performance reflects full contribution from QTS and strong momentum at the end of rail CP5, which contributed towards organic growth of 8 per cent
· Increase in Engineering Services order book1 to £542m (2018: £510m)
· Activity levels in first year of CP6 are in-line with management forecasts, with momentum growing as expected
· Net debt1 at the year-end was reduced in-line with expectations to £10.2m (2018: net debt £21.4m)
– Reflecting reliable cash generation and conservative approach to gearing
David M Forbes, Chairman said: “The Group’s focus remains on those markets where non-discretionary spending programmes exist to maintain critical infrastructure. These markets have excellent long-term prospects with growth driven by regulatory requirements. The Group has strengthened its position in markets which benefit from visible funding. Our multidisciplinary engineering services are closely aligned with the requirements of the sustained investment in these markets which provides the Board with confidence in future growth.”