RNS Number : 7939E
Halma PLC
21 July 2016
Halma plc
AGM Trading Update 21 July 2016
Halma, the leading safety, health and environmental technology group is holding its 122nd AGM later today. The following comments on trading relate to the
first quarter of Halma's financial year which ended on 2 July 2016.
Halma has continued to make good progress in line with the Board's expectations.
Revenue was ahead of the first quarter of the prior year and included good organic constant currency
growth on a weekly average basis (see Note 2). Order intake was ahead of revenue and also above
order intake in the first quarter of the prior year.
There was strong revenue growth in the Infrastructure Safety and Medical sectors
with steady progress in the Environmental & Analysis sector. As expected there was lower revenue
in Process Safety; based on improving order intake trends and continued diversification, the sector
is better positioned to improve its performance as the year progresses.
There was revenue growth in all of our major geographic regions, with the highest rates of growth in the USA and Mainland Europe.
At the end of June, Sterling weakened relative to many currencies, including the US Dollar and Euro. If current exchange rates continue throughout the rest of the current financial
year, the currency translation impact on the Group's results is expected to be positive. Based on the current mix of currency denominated revenue and profit, a 1% movement in the US
Dollar changes full year revenue by £4.3m and profit by £0.9m. Similarly, a 1% movement in the Euro changes full year
revenue by £1.1m and profit by £0.2m. The weighted average exchange rates relative to Sterling used to translate revenue
and profit for the year ended 2 April 2016 were: US Dollar 1.51, Euro 1.37.
The Board remains confident that the resilient and global long-term growth drivers in our chosen markets will continue to underpin Halma's growth. Our focus on
safety, health and environmental technologies together with our agile organisational model, which
encourages local decision making within each subsidiary company, ensures that our business is able
to adapt quickly to changing market conditions. We continue to identify potential acquisition
opportunities that meet our strategic and financial criteria.
In July 2016, Paul Simmons was promoted to the Halma Executive Board as Sector
Chief Executive of our Infrastructure Safety sector, following Nigel Trodd's decision to retire from
the Group in mid-2017. Paul joined Halma as a subsidiary Managing Director in 2010 and was promoted
to Sector Vice President of Infrastructure Safety in 2014. Since then,
he has chaired most of the Sector businesses and played a significant role in the acquisition of
both Advanced Electronics in 2014 and Firetrace in 2015. Nigel will continue to ensure a smooth management transition process and actively support the Sector's M&A activities.
The Group's financial position remains strong.
The half yearly results for the period ending 1 October 2016 are expected to be
released on 22 November 2016.
For further information, please contact:
Halma
plc
Tel: +44 (0)1494 721111
Andrew Williams, Chief Executive
Kevin Thompson, Finance Director
MHP Communications
Tel: +44 (0)20 3128 8100
Rachel Hirst/Andrew Jaques
NOTE TO EDITORS
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1.
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Halma develops and markets products used worldwide to protect life and improve the quality
of life. The Group comprises four business sectors:
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Pr Process Safety
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Products which protect assets and people at work.
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InfInfrastructure Safety
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Products which detect hazards to protect assets and people in public spaces and commercial
buildings.
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M Medical
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Products used to improve personal and public health.
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En Environmental &
& Analysis
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Products and technologies for analysis in safety, life sciences and environmental
markets.
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The key characteristics of Halma's businesses are that they are based on specialist
technology and application knowledge, offering strong growth potential. Many Group businesses are market leaders in their
specialist field.
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2.
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The first quarter's trading in the current 2016/17 financial year included 13 weeks from 3
April 2016 to 2 July 2016. The first quarter's trading in the 2015/16 financial year included 14 weeks from 29 March 2015
to 4 July 2015.
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3.
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High-resolution photos of Halma senior management, including Chief Executive Andrew
Williams, and images illustrating Halma business activities can be downloaded from its website: www.halma.com. Click on the 'News & Media' link,
then 'Image Library'. Photo queries: David Waller +44 (0)1494 721111, e-mail: dwaller@halmapr.com.
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4.
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This Trading Update has been prepared solely to provide additional information to the
shareholders of Halma plc. It should not be relied on by any other party, for other purposes. Forward-looking statements
have been made by the Directors in good faith using information available up until the date that they approved this
statement. Forward-looking statements should be regarded with caution because of the inherent uncertainties in economic
trends and business risks.
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5.
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A copy of this announcement, together with other information about Halma, may be viewed on
its website: www.halma.com
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This information is provided by RNS
The company news service from the London Stock Exchange
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