19th May 2008 07:00
19 May 2008
Brammer plc
Interim Management Statement
Brammer plc, the leading pan European added value technical distributor today issued its first Interim Management Statement as required in accordance with the EU Transparency Directive for the period from 1st January 2008 to date.
Our strong performance in 2007 continued in 2008, with an increase in total revenue of 34% in the first four months to 30 April 2008, with all territories contributing to this performance. This revenue increase was based on organic growth of 12%, growth of 11% from acquisitions made in 2007, and 11% based on currency. Key account growth was 26%. Gross profit margins were maintained at similar levels to last year, and operating cash flow at the end of April was in line with management expectations. Non operating cash expenditure of £5.3 million was made on acquisitions and deferred consideration, and £1.5 million on the purchase of the company’s shares to satisfy vestings under the employee share plan. We announced the acquisition of CBS in the UK on 1 April 2008 for an initial consideration of £3.5 million and Tecnoforniture in Italy on 15 May 2008 for initial consideration of £4.3 million.
David Dunn, Chairman, commented:
"I am delighted with the start to the year, which builds on the momentum from last year. Brammer has continued to perform well, increasing sales by 34% in the first 4 months of 2008, compared with the same period in 2007. This performance was achieved by continuing to apply our tried and tested growth drivers, consisting of organic growth by targeting specific market segments, further development in both national and pan-European key accounts, implementation of Insites, cross-selling, and acquisitions. Based on our encouraging experience to date, the Board is confident of further progress in the rest of the year.
Background Note
NB All data on financial and sales cover the period from 1 January 2008 to 30 April 2008, compared with the same period in 2007, there being one extra working day in 2008. All figures based on unaudited management accounts.
Enquiries: Brammer plc 0161 902 5572
David Dunn, Chairman
Ian Fraser, Chief Executive
Paul Thwaite, Finance Director
Issued: Citigate Dewe Rogerson Ltd 020 7638 9571
Martin Jackson/Nicola Smith
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BRAM.L