Elektron Technology plc (AIM: EKT, "Elektron" or the "Group")
Trading Update and Notice of Preliminary Results
Elektron is pleased to announce the following trading update:
Group
Group sales for the quarter ending 30 April 2019 increased by 17% to £8.9m (2018: £7.6m)
Bulgin
The strong sales growth experienced through last year has continued in Q1 with sales 20% higher than the comparable period. Whilst we expect this growth will moderate in the second quarter, Bulgin is expected to deliver H1 sales well ahead of the comparable period last year.
Checkit
Checkit saw sales growth over the comparable period last year of 49%. It was, however, affected by customer trading problems in its original target market, the food service industry. We are now seeing an increasing number of enquiries for non-food applications. Checkit's transformational acquisition of Next Control Systems announced today enables a move into adjacent verticals with scale, accelerating the route to profitability. We are excited about the potential of the combined business.
Elektron Eye Technology ("EET")
EET sales fell 11.2% during the quarter but the division was up against very strong sales growth of 75.6% in the comparable period. As previously announced EET is non-core and the Group will look to sell in due course.
Preliminary Results - Date
The Group will publish its Preliminary Results for the year ended 31 January 2019 on 12 June 2019.
John Wilson, Chief Executive, commented
"It is pleasing to report that the Group continues to show strong sales momentum".
This announcement contains inside information for the purposes of article 7 of the Market Abuse Regulation (EU) No 596/2014.
For further enquiries:
Elektron Technology plc +44 (0) 1223 371 000
Keith Daley (Executive Chairman)
John Wilson (Chief Executive Officer)
Andrew Weatherstone (Chief Financial Officer & Company Secretary)
Yellowstone Advisory (Investor Relations)
Alex Schlich +44 (0) 7710 164 120
N+1 Singer (Nominated Adviser & Broker)
Shaun Dobson / Jen Boorer (Corporate Finance) +44 (0) 20 7496 3000
Rachel Hayes (Corporate Broking)
Forward looking statements
This document contains forward looking statements with respect to the business, strategy and plans of Elektron Technology plc and its current goals and expectations relating to its future financial condition and performance. Statements that are not historical facts, including statements about Elektron or management's beliefs and expectations, are forward looking statements. By their nature, forward looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. Elektron's actual future results may differ materially from the results expressed or implied in these forward looking statements as a result of a variety of factors among other things, the economic and business circumstances occurring from time to time in the countries, sectors and business segments in which the Group operates. The forward looking statements contained in this document are made as of the date hereof, and Elektron undertakes no obligation to update any of its forward looking statements.