The Vitec Group PLC
11 January 2008
11 January 2008
The Vitec Group plc
2007 Post-close Statement
The Board of The Vitec Group plc ('Vitec') announces the following update on
trading for the year to 31 December 2007.
Current trading
2007 has been another strong year for Vitec. The Board expects adjusted profit
before tax (before significant items) for the year ended 31 December 2007 to be
around the upper end of current market forecasts (see Note 4).
Group sales are expected to be around £270 million, some 21% ahead of 2006.
Before acquisitions and adverse foreign exchange, group sales were up around
10%. Revenue in Broadcast Systems was lifted by the trend to High Definition
(HD) programme-making and from the acquisition in May of RF Systems, which is
seeing rapid growth from the 'BAS Relocation Project' in the USA. Imaging &
Staging's revenue has benefited from the continuing growth in sales of digital
SLR cameras and from increased spending by professionals on lighting equipment.
The Group has also seen a full year of sales from Tomcat Global and Autoscript
(acquired in the last quarter of 2006).
Bogen Imaging, the Group's distribution business, has announced the opening of
Bogen Imaging UK, bringing the distribution of its Manfrotto products in-house
from February 2008.
Outlook for 2008
With the expected benefits of the Beijing Olympics and a full-year contribution
from RF Systems, the Group looks forward to further progress in 2008.
Vitec continues to pursue acquisitions that complement its existing businesses
and add further value for shareholders.
Ends
Enquiries:
The Vitec Group plc
Gareth Rhys Williams / Alastair Hewgill Telephone: 020 8939 4650
Financial Dynamics
Richard Mountain / Susanne Yule / Sophie Kernon Telephone: 020 7269 7121
Notes
1. The company will host a telephone conference for analysts at 9.00am
today. Please contact Elaine Ryman on 020 7269 7121 at Financial Dynamics for
details.
2. The preliminary results will be released on 3 March 2008.
3. This statement is based on information sourced from management estimates.
4. The current range of market forecasts of adjusted PBT for 2007 is £28.6
to £29.6 million.
5. Whilst Vitec has significant production and sourcing in US dollars and
has hedging arrangements in place, movements in the $/£ and, particularly,
$/€ rates can have a significant impact on reported results. After hedging,
the Group expects to see an adverse effect of some £3.7 million on operating
profit in 2007 compared to 2006 (compared to the guidance of £3.3 million
adverse given at the Interims in September) and, if current exchange rates
continue throughout 2008, an adverse impact of some £1.5 million on 2008
operating profit compared to 2007 (compared to the guidance of £1.8 million
adverse given in September).
6. Current market exchange rates: £1 = $1.97 £1 = €1.34, €1 = $1.47
7. 2007 average market exchange rates: £1 = $2.00, £1 = €1.47, €1 = $1.37
8. Statements made in this announcement that look forward in time or that
express management's beliefs, expectations or estimates regarding future
occurrences are 'forward-looking statements' within the meaning of the United
States federal securities laws. These forward-looking statements reflect
Vitec's current expectations concerning future events and actual results may
differ materially from current expectations or historical results.
9. Vitec is an international Group, principally serving customers in the
worldwide media sector with products and services for the broadcast,
entertainment and photographic industries. Vitec is based on strong, well
known, premium brands that professionals rely on. Vitec is organised in three
divisions: Imaging & Staging, Broadcast Systems and Broadcast Services. More
information can be found at: /www.vitecgroup.com.
This information is provided by RNS
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