10th May 2018 11:18
LONDON (Alliance News) - Tyman PLC on Thursday said trading so far this year has met expectations though a stronger sterling has had a negative effect on revenue growth.
For the first four months of the year, typically a quieter period in its important northern hemisphere end-markets, revenue on a like-for-like basis at constant currency increased 3.7% year-on-year.
On a reported basis, however, revenue was up 1.0% year-on-year.
Tyman, a components provider to the door and window industry, said its AmesburyTruth business has had an "encouraging" start to 2018 with US dollar orders and revenue ahead year-on-year.
Bilco, which is within AmesburyTruth, has maintained momentum while Canadian trading remains positive. Tyman said the integration of Ashland, which it bought in March for USD101.0 million, is on schedule.
Within the ERA business, like-for-like revenue is slightly down year-on-year due to a subdued repair, maintenance, and improvement market in the UK as well as higher costs from the Far East.
Tyman also on Thursday said it has bought Zoo Hardware, which will go into ERA. Architectural firm Zoo Hardware has an enterprise value of GBP19.0 million, Tyman said, funded mainly through its existing debt facilities.
In the SchlegelGiesse business revenue is again slightly behind on 2017 like-for-like due to the phasing of orders so far in 2018.
Results for the six months to June will be released on July 25.
Chief Executive Louis Eperjesi commented: "The group has made an encouraging start to 2018, consistent with our expectations for the year as a whole. North American markets continue to expand and AmesburyTruth has traded ahead of 2017 in the period; with Ashland making a promising start under our ownership.
"The UK RMI market remains slow and input costs have continued to increase; however the prospects for our UK light infrastructure businesses are positive. SchlegelGiesse has an improving order book in EMEAI and expects a further year of growth in most markets."
Eperjesi added: "Input costs are likely to remain volatile and the group will be disciplined in its approach to input cost recovery across each division. Overall, Tyman expects to see a further year of profitable growth in 2018."
Tyman shares were up 0.2% on Thursday at 337.00 pence each.
Related Shares:
Tyman