10th Feb 2010 07:00
10 February 2010
SYNERGY HEALTH PLC
("Synergy", "the Company" or "the Group")
Q3 Interim Management Statement
Synergy (SYR.L), a leading provider of specialist outsourced support services to health related markets in the UK, the Rest of Europe, Asia and South Africa, is pleased to provide an update on its progress since 27 September 2009.
Overall trading has continued in line with the first half of the year and we remain on track to meet the Board's expectations for the full year. Revenues in the third quarter increased 8.0% on the same period last year to £73.3 million (Q3 2008/9: £67.9.million). Revenues for the nine months to 27 December 2009 increased 7.6% to £216 million (YTD 2008/9: £201 million). Revenues in the operating regions were as follows:
|
Revenues Q3 09 |
Revenues Q3 08 |
Growth |
|
|
|
|
United Kingdom |
£39.1 million |
£38.4 million |
2.6% |
Rest of Europe |
£32.0 million |
£27.5 million |
16.0% |
Asia and South Africa |
£2.2 million |
£2.0 million |
14.7% |
Operating margins were up 1.5% on the same period last year and 0.9% year to date. All of the businesses, with the exception of the UK laboratory business and the non-linen component of Healthcare Solutions, are operating in line with expectations. The laboratory business is expected to be largely corrected by the year end whilst a new MD at Healthcare Solutions is implementing a strategy that should see margin progression in the coming financial year.
Net debt has reduced further in the period to £140 million from £148 million on 27 September 2009, and the group continues to operate very comfortably within its agreed covenants.
Having successfully restored margins and improved cash generation the Group is now putting in place a strategy to lift growth rates across all three regions including China, where progress opening up the decontamination and sterilisation markets continues. We are pleased to report that our new Decontamination facility in Knowsley in the UK opened satisfactorily at the end of January and that we will achieve financial close with the University Hospitals of Leicester NHS Trust that will see a new facility open in a year's time.
We look forward to reporting further progress at the end of the next quarter on the 14th of April and our preliminary results on the 3rd of June 2010.
Enquiries:
|
Related Shares:
SYR.L