Fulcrum Utility Services Ltd Trading Update (7933D)
24 Outubro 2022 - 3:00AM
UK Regulatory
TIDMFCRM
RNS Number : 7933D
Fulcrum Utility Services Ltd
24 October 2022
24 October 2022
FULCRUM UTILITY SERVICES LIMITED
("Fulcrum" or "the Group")
Trading Update
Fulcrum Utility Services Limited, a leading independent provider
of essential utility services including multi-utility connections
and renewable energy infrastructure, provides a trading update for
the six months ending 30 September 2022.
The Group is pleased to have won a series of major utility
contract awards in the first half of the financial year ending 31
March 2023 ("FY23"), notably:
-- a GBP4.1m contract to design and deliver the high voltage
electrical infrastructure that will power a new 158-acre solar farm
and battery storage facility;
-- a GBP2m multi-utility infrastructure project to power a
leisure resort in the south of England for a leading brand of
family resorts;
-- a GBP2m contract to deliver High Voltage electrical
infrastructure that will power a new Battery Energy Storage System
in the north of England; and
-- a GBP1.2 million project to support the energisation High
Voltage infrastructure for a new 50MW solar farm.
During the first half of FY23, the Group has continued to
experience the impact of significant challenges of ongoing adverse
energy and wider market conditions. In addition, the critical
measures put in place by the new executive team in order to turn
around the business's operating performance, and the impact of the
recently notified cyber security incident, are being felt by the
Group.
The Group expects to report revenue of approximately GBP24.0
million for the first half of FY23 (H1 22: GBP28.6 million).
Ongoing challenges with the legacy and closure of historic
projects, and the unprecedented cost increases impacting much of
the Group's supply chain, have continued to erode sales margins.
The Group now expects to report an interim half year adjusted (1)
EBITDA loss of approximately GBP3.0 million (H1 22: GBP1.0 million
profit) with a corresponding impact on the Group's full year
results. As a result the Group now expects revenue for full year FY
2023 will be approximately GBP49.0 million (FY22: GBP61.8 million)
and that the Group adjusted EBITDA loss will be approximately
GBP6.0m (FY22: GBP0.5 million profit) subject to audit review.
Whilst the new executive team's continuing priority is to
protect and improve margins and refocus the Group on its core
utility infrastructure and asset ownership growth strategy, the
Group's challenges are historic in origin, have been longstanding
and are widespread. As such, the benefits of the business
improvements introduced to date and currently underway are taking
longer than anticipated to realise.
The executive team has put in place a number of new controls and
procedures improving the project costing and tracking processes and
enforcement of contract variations to protect the Group's margins.
The full implementation of these new controls and procedures has
been hampered by the cyber security incident and so their benefits
will take longer than expected to impact the Group's results.
Although the Group's field operations were unaffected by the
cyber security incident, it did impair managerial and system
information, and the ability to fully invoice customers for up to
three weeks. Hence the Group's net cash position as at 30 September
2022 was GBP4.8 million. Whilst the Group continues to actively
manage its working capital, it is in discussions with its
substantial shareholders to ensure that the Group remains
adequately funded.
(1)
Adjusted EBITDA. (subject to audit review) is operating loss
excluding the impact of exceptional items, other net gains,
depreciation, amortisation and equity-settled share-based payment
charges.
Antony Collins, CEO, said :
"Clearly the Board and I are disappointed in these results but I
am confident that the steps needed to turn Fulcrum around are well
underway. I always knew the task of turning Fulcrum around would be
a hard one and the challenges that the Group has faced are much
deeper and wider spread than anyone previously anticipated.
However, I believe the major issues have now been identified and
measures and ameliorations put in place to improve performance.
The Group's medium to long-term growth continues to be
underpinned by strong market drivers and government stimulus. With
the executive team identifying improvement opportunities and
ensuring optimal performance I believe, that Fulcrum will be well
positioned to benefit from the UK's transition to a low carbon
economy and a net-zero future "
This announcement contains inside information.
Enquiries:
Fulcrum Utility Services Limited +44 (0)114 280
Antony Collins, Chief Executive Officer 4150
Cenkos Securities plc (Nominated adviser and broker)
Camilla Hume / Callum Davidson (Nomad) / Michael +44 (0)20 7397
Johnson (Sales) 8900
Notes to Editors:
Fulcrum is a multi-utility infrastructure and services provider.
The Group operates nationally with its head office in Sheffield,
UK. It designs, builds, owns, and maintains utility infrastructure.
https://investors.fulcrum.co.uk/
[1] Adjusted EBITDA. (subject to audit review) is operating loss
excluding the impact of exceptional items, other net gains,
depreciation, amortisation and equity-settled share-based payment
charges.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
TSTFFFVIIELVFIF
(END) Dow Jones Newswires
October 24, 2022 02:00 ET (06:00 GMT)
Fulcrum Utility Services... (LSE:FCRM)
Gráfico Histórico do Ativo
De Mai 2024 até Jun 2024
Fulcrum Utility Services... (LSE:FCRM)
Gráfico Histórico do Ativo
De Jun 2023 até Jun 2024