13th Mar 2007 07:01
Sondex PLC13 March 2007 Sondex plc ("Sondex" or the "Company") Trading UpdateRevenues expected to increase by over 30% Sondex, a leading oilfield technology supplier, today provides an update priorto entering into close period for the company's results for the year ended 28February 2007. Trading Update The last year has seen a continued strong global oil and gas services market.Sondex anticipates reporting revenues up in excess of 30% and operating profitbefore amortisation of acquired intangible assets and exceptional costs up byover 40% compared with the year ended 28 February 2006. Particularly strong results are anticipated from the Drilling division which isexpected to report organic revenue growth of around 35%. Significantcontributions were also seen from both Russia and China where the Company hasexperienced record order intake. Adjusted earnings per share are anticipated to be some 10% above marketconsensus (range of forecasts is 15.0p to 16.9p). The result would still be atthe top end of the range if the one off cost of £1.5 million due to the abortedacquisition of Innicor Subsurface Technologies Inc were deducted. Bluestar Tools which was acquired in July 2006 has contributed strongly. Theintegration programme is progressing well and it is anticipated that thisbusiness will meet its earn-out expectations. The business now trades as SondexDrilling Tools Inc. and the products manufactured by this company are beingmarketed by the Group's global network of sales offices. The Ultima Labs acquisition completed in October 2006 is performing in line withexpectations. The integration of their products into the broader range alreadysold by the Group is well underway. No acquisitions are anticipated in the near future, however the Company'sstrategy of adding on technologies and, when appropriate, new related productlines remains unchanged. Results for the year ended 28 February are expected to be announced on the 15thMay 2007. Martin Perry, Chief Executive, commented: "Our two divisions and the recent acquisitions have performed strongly in thepast year with good margins continuing to be achieved. "We are pleased with the achievements across the Company and especially thecontribution from Russia and China, having received good orders from a number ofnew and existing customers. We start this new year with a great deal ofconfidence." 13th March 2007 ENQUIRIES: Sondex Tel: 01252 862 200Martin Perry (Chief Executive)Chris Wilks (Finance Director) College Hill Tel: 020 7457 2020Nick Elwes This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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