23 January 2017 – trading update
The company has released a trading update, strategy update and details of an acquisition. In the year ended 31 December 2016 revenue was 19.9% up on 2015 at approximately £53.7m and underlying profit before tax will be between £7.0m and £7.2m. Net debt at the year end was around £13.0m. The strategy of complementing organic growth with selective acquisitions was confirmed and the acquisition of HTL, which completed on 20 January, supports this. Total consideration could be up to £2.65m. For the year ended 31 December 2015, HTL’s turnover was £5.2m and EBIT was £0.3m. Net assets at the same date were £0.5m. Results for the year to 31 December 2016 are due for release on 4 April. Ahead of the news we keep our BUY rating.