REG-Redhall Group PLC Board Changes and Pre-Close Trading UpdateReleased: 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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