Volution announces new reporting structure
02.03.20
Volution Group plc ("Volution" or "the Group" or "the Company", LSE: FAN), a leading supplier of ventilation products to the residential and commercial construction markets in the UK, Continental Europe and Australasia, today announces a change to its reportable operating segments.
On listing in June 2014, Volution was present in three countries (UK, Sweden and Germany) and generated 77% of its revenue from the UK. Our subsequent growth strategy has seen us acquire ten market leading brands across eight countries since listing, providing greater geographic diversity and moving the Group to one which now generates 52% of its revenue outside of the UK.
We have therefore decided to move to a reporting structure based around our three core geographies of the UK, Continental Europe and Australasia, commencing with our interim results for the six months ended 31st January 2020, which we will be announcing on 16th March. Included below are the previously reported interim results for the six months ended 31st January 2019 and the full year ended 31st July 2019 under the new geographic segmental structure.
We believe this new segmental reporting will improve performance visibility across the Group, as we continue to focus on delivering our strategy.
|
UK |
Continental Europe |
Australasia |
Central / Eliminations |
Consolidated |
|
|
6 months ended 31 January 2019 |
£000 |
£000 |
£000 |
£000 |
£000 |
|
Revenue |
|||||
|
External customers |
66,660 |
39,955 |
8,232 |
- |
114,847 |
|
Inter-segment |
6,226 |
5,085 |
- |
(11,311) |
- |
|
Total Revenue |
72,886 |
45,040 |
8,232 |
(11,311) |
114,847 |
|
Gross profit |
28,633 |
20,136 |
4,572 |
- |
53,341 |
|
Results |
|||||
|
Adjusted segment EBITDA |
12,732 |
9,108 |
1,376 |
(799) |
22,417 |
|
Depreciation and amortisation of development costs, software & patents |
(1,120) |
(685) |
(67) |
(311) |
(2,183) |
|
Adjusted operating profit/(loss) |
11,612 |
8,423 |
1,309 |
(1,110) |
20,234 |
|
Amortisation of intangibles acquired |
(5,379) |
(1,971) |
(382) |
- |
(7,732) |
|
Exceptional items |
- |
- |
- |
(1,216) |
(1,216) |
|
Operating profit/(loss) |
6,233 |
6,452 |
927 |
(2,326) |
11,286 |
|
Unallocated expenses |
|||||
|
Net finance cost |
- |
- |
- |
(1,058) |
(1,058) |
|
Profit/(loss) before tax |
6,233 |
6,452 |
927 |
(3,384) |
10,228 |
|
Operating Profit Margin |
17.4% |
21.1% |
15.9% |
17.6% |
|
UK |
Continental Europe |
Australasia |
Central / Eliminations |
Consolidated |
|
|
Year ended 31 July 2019 |
£000 |
£000 |
£000 |
£000 |
£000 |
|
Revenue |
|||||
|
External customers |
135,536 |
77,985 |
22,177 |
- |
235,698 |
|
Inter-segment |
13,924 |
9,983 |
- |
(23,907) |
- |
|
Total Revenue |
149,460 |
87,968 |
22,177 |
(23,907) |
235,698 |
|
Gross profit |
58,529 |
40,592 |
11,958 |
- |
111,079 |
|
Results |
|||||
|
Adjusted segment EBITDA |
26,373 |
18,040 |
4,119 |
(2,053) |
46,479 |
|
Depreciation and amortisation of development costs, software & patents |
(2,245) |
(1,386) |
(199) |
(597) |
(4,427) |
|
Adjusted operating profit/(loss) |
24,128 |
16,654 |
3,920 |
(2,650) |
42,052 |
|
Amortisation of intangibles acquired |
(10,759) |
(3,750) |
(931) |
- |
(15,439) |
|
Exceptional items |
(1,171) |
(546) |
(84) |
- |
(1,801) |
|
CFO succession costs |
- |
- |
- |
(150) |
(150) |
|
Operating profit/(loss) |
12,198 |
12,358 |
2,905 |
(2,800) |
24,662 |
|
Unallocated expenses |
|||||
|
Net finance cost |
- |
- |
- |
(1,522) |
(1,522) |
|
Profit/(loss) before tax |
12,198 |
12,358 |
2,905 |
(4,322) |
23,140 |
|
Operating Profit Margin |
17.8% |
21.4% |
17.7% |
17.8% |
-Ends-
For further information:
Enquiries:
Volution Group plc
Ronnie George, Chief Executive Officer
+44 (0) 1293 441501
Andy O’Brien, Chief Financial Officer
+44 (0) 1293 441536
Liberum Capital Limited
Neil Patel
Richard Bootle
Edward Phillips
+44 (0) 203 100 2222
Tulchan Communications
James Macey White
David Allchurch
Giles Kernick
+44 (0) 207 353 4200
Legal Entity Identifier: 213800EPT84EQCDHO768.
Note to Editors:
Volution Group plc (LSE: FAN) is a leading supplier of ventilation systems and products to both the residential and commercial construction markets in the UK, Continental Europe and Australasia.
Volution Group comprises 16 key brands across the three regions:
UK: Vent-Axia, Manrose, Diffusion, National Ventilation, Airtech, Breathing Buildings, Torin-Sifan.
Continental Europe: Fresh, PAX, VoltAir, Kair, Air Connection, inVENTer, Ventilair.
Australasia: Simx, Ventair.
For more information, please go to: www.volutiongroupplc.com