REG-Redhall Group PLC Board Changes and Pre-Close Trading Update

Released: 01/10/2009

RNS Number : 0145A
Redhall Group PLC
01 October 2009
 


For Immediate Release		Thursday, 1 October 2009


 

Redhall Group plc

('Redhall' or the 'Group')


Board Changes and Pre-Close Trading Update


Redhall Group plc, the specialist engineering support services
group, announces a pre-close trading update for the year ended 
30 September 2009 and the following Board changes.



Board Changes

    *	Simon Foster is appointed Group Chief Executive.
    *	David Jackson continues as Group Executive Chairman.
    *	John O'Kane is appointed Group Finance Director. John 
	is currently Group Finance Director of Jarvis plc.


These changes will take effect from 1 November 2009.


Tony Price has resigned from his position as Chief Operating 
Officer and as a Board Director and left the Group's employment 
on 30 September 2009. The Board thanks him for his contribution 
and wish him every success in the future.



Trading Update

The Group's trading results for the year will be announced on 3 
December 2009 and it is anticipated that profits will be 
marginally below current market expectations. This is 
attributable to some reduction in expected volumes in the 
nuclear and chemical areas.


Within the Energy division, oil and gas activities have 
performed strongly with margin improvements. Nuclear revenues 
have continued to be held back in the short term by widely 
publicised delays in spending by the NDA. Management is 
confident these delays are temporary and Redhall continues to 
position itself strategically for longer term opportunities 
across the sector.


The Defence division has continued to grow with particular 
emphasis on major projects at the Atomic Weapons Establishment. 
The Group has recently secured the final phases of its design 
and manufacture contract for Project HEFF increasing the 
contract value to £9 million.  


The Process division has experienced some margin and volume 
pressures as clients have deferred investment in response to 
economic conditions.  


The balance sheet and cash performance remain robust. We have 
generated £4.1m of cash in the period and at 30 September 2009 
the Group had net cash balances of £6 million. The order book 
has also increased to £117 million.


David Jackson, Chairman of Redhall, commented:

'Despite the current wider economic challenges, I expect growth 
in 2010 albeit more constrained in the short term. The nature 
and breadth of our activities and the Group's balance sheet 
strength and cash position give me confidence that we will 
continue to grow.


I am delighted to announce Simon Foster's appointment as Group 
Chief Executive and welcome John O'Kane to the Board as Group 
Finance Director. The strengthened management team is now in 
place to take the business to its next stage.'


 

For more information please contact:


Redhall Group plc		      Tel: +44 (0)1924 385 386

David Jackson, Chairman & Chief Executive
Simon Foster, Chief Financial Officer
	


Altium (Nominated adviser & Broker)   Tel: +44 (0)161 831 9133
Phil Adams / Simon Lord / Paul Lines
	


Buchanan Communications  	      Tel: +44 (0) 20 7466 5000
Tim Anderson / James Strong
	




		This information is provided by RNS
	The company news service from the London Stock Exchange
 
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