Business
Pre-close Trading Update
Pre-close Trading Update.
About this update from Volution Group Plc
[{"type":"text","content":"\n\n\n \n \nWednesday 24 July 2024\n \n \n \nVolution Group plc\n \nPre-close Trading Update for the Financial Year ending 31 July 2024\n \nAdjusted earnings slightly ahead underpinned by strong performance in the UK\n \nVolution Group plc (\"Volution\" or \"the Group\" or \"the Company\", LSE: FAN), a leading international designer and manufacturer of energy efficient indoor air quality solutions, today is pleased to announce a scheduled Pre-close Trading Update for the financial year ending 31 July 2024 (\"FY24\").\n \nFurther progress; expect adjusted EPS to be slightly ahead of current market forecasts\nVolution has continued to make good progress in the year ending 31 July 2024 and the Board expects adjusted earnings per share to be slightly ahead of current market forecasts (see note 1).\n \nOrganic growth in H2 ahead of H1; with continued strength in UK residential\nThe Board is expecting to deliver Group total revenue growth on a constant currency (cc) basis for FY24 of over 7%, within which organic growth (cc) is expected to be slightly over 1% (H1 2024: 0.9%) despite a challenging macroeconomic backdrop characterised by subdued levels of new construction activity, high interest rates and weak consumer confidence. Within this:\n· UK residential revenue has grown strongly. Our refurbishment and improvement market, most notably public RMI, continues to benefit from strong demand due to the ongoing heightened awareness of the health risks associated with mould and condensation. New build systems revenue has been underpinned by key account wins and the benefit of regulations driving housebuilders towards adopting more sophisticated low carbon and energy efficient ventilation solutions. By contrast it has been a weak second half in UK commercial, and OEM demand also remains weak albeit with year-on-year revenue declines bottoming out in the second half as we start to lap softer comparatives.\n· Continental Europe growth has been driven by the acquisitions of VMI in France and I-Vent in Slovenia late in FY23, with organic revenue expected to be broadly flat at constant currency. Performance in the Nordics has continued broadly as seen in the first half of the year, with resilient refurbishment revenue contrasting with difficult c...