19th Dec 2005 07:00
Senior PLC19 December 2005 Senior plc Pre Close Period Statement Senior plc, a manufacturer of high technology components and systems,principally for the Aerospace and Automotive markets, issues this trading updatefor the twelve month period to 31 December 2005. Overall, trading remains in line with that anticipated at the time of theinterim statement on 3 August 2005. Consequently, the Group's adjusted profitbefore tax(1) for the full year is expected to be ahead of that reported for2004. Year-end net debt will, as anticipated, be slightly higher than the £59.1mreported at June 2005, primarily due to the continued high levels of capitalexpenditure in the Automotive Division. Aerospace Divisional sales have improved during the period as the overall civilaircraft market continues to recover and the military and defence sector remainsat a healthy level. Within the civil market, business jets enjoyed strong growthbut regional jet build rates continued to weaken. Deliveries of large civilaircraft, built by Boeing and Airbus, increased in the period and, with 1,514aircraft ordered in the first eleven months of the year compared to the 605delivered, their order books remain strong. Consequently, the aerospace marketcontinues to present solid opportunities for growth as build rates increase andmanufacturers seek to outsource production of some products to make way for thenewer and larger aircraft. In the Automotive Division, sales have been slightly better than expected,despite overall vehicle sales in both the European and US markets remainingweak. This improved position is mainly due to a combination of new programmestart-ups at a number of operations, diesel engines continuing their marketshare increase in Europe and a favourable product mix in the USA, where a higherproportion of front wheel drive cars were built and sold. Investment in plant and equipment required to manufacture new products for theNorth American heavy truck diesel engine market, as it converts to common railtechnology to meet the new emission laws in early 2007, continues according toplan. In addition, new opportunities in the diesel market have necessitated therecruitment of additional engineering resources. In the Industrial Division, improved demand from the energy sector and healthyexport markets have led to greatly improved performances at Pathway and Canada.At Hargreaves, its contract on the new Wembley stadium has proved to bedifficult but is now close to completion. Overall, the Division is expected todeliver a strong profit improvement over 2004 and future prospects remainencouraging. The 2005 full year results will be announced on 2 March 2006. (1) adjusted profit is that before goodwill impairment, profit / loss on sale of operations and fixed assets For further information please contact: Senior plcGraham Menzies, Group Chief Executive 01923 714702Mark Rollins, Group Finance Director 01923 714738 Finsbury GroupAdrian Howard 020 7251 3801 This announcement, together with other information on Senior plc may be foundat: www.seniorplc.com Note to Editors: Senior is an international manufacturing group with operations in 11 countries.Senior designs, manufactures and markets high technology components and systemsfor the principal original equipment producers in the worldwide aerospace,automotive and specialised industrial markets This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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