Business
Trading Update and Renewed Banking facilities
Trading Update and Renewed Banking facilities.
About this update from Nwf Group Plc
[{"type":"text","content":"\n\n \nNWF Group plc: Trading Update and Renewed Banking facilities\n \nNWF Group plc ('NWF' the 'Company' or the 'Group'), the specialist distributor of fuel, food and feed across the UK, today provides a trading update for the year ended 31 May 2023 (\"FY23\"), together with details of its renewed banking facilities.\nTrading update\nAs set out in the trading update of 9 March 2023, the Group delivered strong performances from all businesses in the first half. Pleasingly, this positive momentum has been sustained through the second half and consequently, FY23 headline profit before tax is now anticipated to be ahead of the current market expectation1 and in excess of £19.0 million2.\nNet cash at the year-end is also higher than previous expectations as a result of the stronger trading result, ongoing disciplined cash management across the Group and some positive working capital movements.\nFuels:\n· Volumes recovered in the second half as the team focused on increasing commercial business\n· The Sweetfuels acquisition has been successfully integrated and is performing strongly\n· The Board continues appraising earnings accretive acquisition opportunities in line with NWF's strategy of consolidating a fragmented UK Fuels market\nFood:\n· Demand has continued to be robust with storage close to capacity and increased outloads supported by improved operating efficiency\nFeeds\n· Solid demand for ruminant feed and ancillary products across the year supported by a strong milk price with the business effectively managing commodity cost volatility and inflationary cost increases\nRenewed Banking facilities\nThe Group has completed the renewal of its banking facilities with NatWest Group for a three year term on competitive rates, with an option to extend by two years. The facilities of £61 million comprise an invoice discounting facility of £50 million, a revolving credit facility of £10 million and an overdraft of £1 million, with a further £20 million accordion available to support the development strategy of the Group.\nRichard Whiting, Chief Executive of NWF said:\n\"We have delivered a very strong result for the Group and it's great to report that all three divisions have ...