Slide 1: Preparing for Growth
PREPARING FOR GROWTH Carclo plc Full Year Results Investor Presentation 30 June 2021
Slide 2: Nick Sanders and Phil White
Nick Sanders Phil White Executive Chairman Chief Financial Officer Carclo Full Year Results Investor Presentation 30 June 2021 2
Slide 3: Agenda
Agenda Overview Strategy Financial Overview Summary and Outlook Carclo Full Year Results Investor Presentation 30 June 2021 3
Slide 4: Overview
Overview Resilient revenue performance despite COVID-19 Net cash from operating activities from continuing operations was £8.4m (2020: £6.9m) Statutory operating profit from continuing operations increased to £9.3m (2020: £1.8m) Net exceptional gain in the year of £4.5m, reflects a £6.5m pen
Slide 5: Overview
Overview CTP Strong performance in challenging circumstances Winning new business and new customers in medical and diagnostics sector Investment in CAPEX for future growth Aerospace Remained EBITDA profitable and cash generative Market recovery some way off Focus on winning new custo
Slide 6: Strategy
Strategy Our strategy is to leverage our position as a trusted and collaborative provider of engineering solutions for medical, optical, electronic and aerospace markets. Strategic reviews completed of both divisions Strengthening business development focus Maximise sales to existing customers
Slide 7: Financial Results for the full year ended 31 March 2021
Phil White Chief Financial Officer Financial Results for the full year ended 31 March 2021
Slide 8: Summary – COVID-19 impact significantly mitigated
Summary – COVID-19 impact significantly mitigated Revenue resilient at 2.7% down YOY despite COVID-19 impact CTP Revenue broadly similar YOY £102.5m (2020: £103.1m) Aerospace Revenue £5.1m, down 31.7% (£2.4m) YOY on COVID-19 sector impact Underlying operating profit £4.8m, down £2.5m YOY com
Slide 9: Underlying operating profit bridge £m
Underlying operating profit bridge £m Underlying profit down by £2.5m to £4.8m CTP resilient, profitability broadly unchanged at £9.2m Operating profit results include all COVID-19-related adverse impact and support (no COVID-19 financials in Exceptionals) Main impact is £1.1m Aerospace, and
Slide 10: Divisional Operating Performance Summary – CTP
Divisional Operating Performance Summary Carclo Technical Plastics CTP – Performance Summary Revenue and Underlying Op. Profit £m Revenue stable at only 0.6% down YOY Lower volumes from COVID-19 impact 120.0 offset by new business won 103.1 102.5 H2 Recovery to £55.3m, 17% up on H1 100.0 (£47.
Slide 11: Divisional Operating Performance Summary – Aerospace
Divisional Operating Performance Summary Aerospace Aerospace – Performance Summary Revenue and Underlying Op. Profit £m Aerospace is hardest hit and may take c.3-4 years to recover, but is: 8.0 7.5 7.0 Generating cash at its low point 6.0 5.1 Much smaller in scale and impact at 5.0 below 5% of
Slide 12: Consolidated Income Statement
Consolidated Income Statement Consolidated income statement 2021 2020 Consolidated Income Highlights year ended 31 March £000 £000 CONTINUING OPERATIONS Continuing operations Of £107.6m Revenue H1 of £50.0m rose 15% to £57.6m in H2 with COVID- 19 recovery This contrasts with 2020 H2 Revenues dro
Slide 13: Group Net Debt YOY movement
Group Net Debt YOY movement Group net debt (£m) Net debt marginally increased, up £0.2m to £27.6m Operating cash inflows of £8.0m were complemented by working capital inflows of £3.7m, with positive fx gains of £1.1m offsetting P&L losses, and £1.3m receipts from the discontinued technology busi
Slide 14: IAS 19 Deficit Movements (£m)
IAS 19 Deficit Movements (£m) IAS deficit movement to 31 March 2021 Overall £0.3m reduction. Key changes: BPO credit of £6.5m from new flexible retirement offer March 2021 Admin Expenses include PPF levy increase to £0.9m, and higher admin expenses from restructuring Financial assumptions £1
Slide 15: Consolidated Financial Position
Consolidated Financial Position Consolidated Statement of Financial Position 2021 Non-Current Tangible Assets: Capitalisation increased by net £2.8m Working Capital: Reduced YOY and generated £3.7m in cash flow Net Debt excluding leases £20.5m, down £1.6m from £22.1m and includes US COVID-19 s
Slide 16: Group Operating Cash Flow Summary
Group Operating Cash Flow Summary – includes discontinued operations £11.2m cash generated from operations 2020 comparatives include realisation of assets from LED technologies discontinued operations (£2.8m) applied to interest and tax (£7.3m) capex spend £6.3m generated from financing &
Slide 17: Summary and Outlook
Summary and Outlook • Business stabilised and now improving • New management team and Board appointed • Simplified business structure • Processes strengthened and rigorous review process in place • Significant investment in CAPEX for future growth • CTP performing well, Aerospace will take some time
Slide 18: Disclaimer
Disclaimer This presentation may include certain forward-looking statements, beliefs or opinions, including statements with respect to Carclo plc’s business, financial condition and results of operations. These forward-looking statements can be identified by the use of forward-looking terminology, i