Preliminary Results for the year ended 30 November 2016

30 Jan 2017

Record profit before tax and strong cash generation

Porvair plc (“Porvair” or “the Group”), the specialist filtration and environmental technology group, today announces its results for the year ended 30 November 2016.

Highlights

Strong financial performance:

  • Record revenue of £109.4 million (2015: £95.8 million), up 14%.  At constant currency* up 8%.
  • Profit before tax up 10% to a record £10.1 million (2015: £9.2 million).
  • Basic earnings per share up 10% to 17.1 pence (2015: 15.5 pence).
  • Strong cash generation: net cash increased to £13.6 million at 30 November 2016 (2015: £10.7 million). £7.4 million (2015: £4.4 million) invested in capital expenditure and acquisitions.
  • Final dividend of 2.4 pence per share (2015: 2.2 pence per share) recommended, an increase of 9%.

Metals Filtration:

  • Revenue up 12% to £34.7 million (2015: £31.0 million). 1% up in constant currency, following a strong second half.
  • 89% sales growth in China and promising pipeline going into 2017.
  • 12% operating profit decline to £2.2 million (2015: £2.4 million) largely due to planned start-up costs in China.
  • Record aluminium filtration sales.

Microfiltration:

  • Record revenue and profit. Revenue up 15% to £74.6 million (2015: £64.8 million), up 11% in constant currency.
  • Operating profit up 22% to £11.8 million (2015: £9.7 million).
  • Record revenue in aviation filtration.
  • Record results at Seal Analytical.
  • TEM, acquired in December 2015, delivered a strong first year.

Outlook:

  • Further investments in capacity, new product development and skills planned.
  • Healthy order position going into 2017.

Commenting on the outlook, Ben Stocks, Chief Executive, said:
“Porvair finished 2016 strongly and the Group has started 2017 with a healthy order position. Investments in capacity and manufacturing capabilities allow room for further growth. The acquisition made in December 2015 continues to perform ahead of expectations. New products will be introduced in aviation, nuclear filtration and by Seal Analytical. The modest losses incurred in our Chinese start-up are expected to diminish. Overall, the Group remains in a strong financial position and a good start has been made to the current year.”

*See note 14 for definition of revenue at constant currency

For further information please contact:
Porvair plc
020 7466 5000 today
01553 765 500 thereafter
Ben Stocks, Chief Executive
Chris Tyler, Group Finance Director
Buchanan Communications
020 7466 5000
Charles Ryland / Steph Watson
An analyst briefing will take place at 9:30 a.m. on Monday 30 January 2017 at Buchanan. An audio webcast and a copy of the presentation will be available at www.porvair.com on the day.

30 Jan 2017 Preliminary Results for the year ended 30 November 2016 (265KB PDF)