SILVERDELL PLC. 
By ?
Silverdell PLC
("Silverdell" or "the Company")
AGM trading update
Silverdell PLC (AIM: SID), the Specialist Environmental Support Services group, announces the following trading update in advance of its AGM, to be held at 11am today at the office of FinnCap, 60 New Broad Street, London EC2M 1JJ.
Silverdell is pleased to announce that it has secured a number of long term framework contracts worth in aggregate up to £3 million per year.The Group maintains a strong order book and tendering activity remains very high with a number of key opportunities being negotiated.
Following the positive start to the new financial year, the Board expects results for 2013 to be in line with its expectations. The Board also confirms its recommendation of a maiden dividend of 0.175 pence per share, to be paid on 22 March 2013 to shareholders on the register at the close of business on 13 March 2013, subject to approval by shareholders at today's AGM.
The Board has taken the decision to accept an offer of circa £1m as final settlement from Shaw Group on its 18 month final account negotiation on Pembroke Power Station, a contract secured in 2010. A non-recurring exceptional charge of around £2.5m will be recorded in the first half results for 2013. The Company's underlying profit for 2013 will not be affected however year end net debt is now anticipated to be approximately £1 million higher than previous expectations.
The Board took the view that the release of cash would enable the Group to take advantage of many of the new opportunities now becoming available in its Decommissioning division. Considerable changes in policy have been implemented since the contract was first tendered and the Board is confident that its far more stringent controls, combined with moving to work directly for clients, will avoid a similar situation in the future.
Sean Nutley, Chief Executive of Silverdell, commented:
"Last year was a landmark year for Silverdell with the successful acquisition and integration of EDS, the securing of significant new contracts and the streamlining and strengthening of our management structure to give us a strong platform for the future.
"With a much transformed and broader service offering and geographical footprint, we are well-placed to implement our growth strategy supported by clear and achievable KPIs.
"Our confidence in the future is reflected in our recommendation of a maiden dividend. I look forward to reporting further progress."
7 March 2013
ENQUIRIES:
Silverdell | Tel: + 44 20 7389 6800 |
Sean Nutley, Group Chief Executive | |
Ian Johnson, Group Financial Director | |
finnCap | Tel: + 44 20 7220 0500 |
Matt Goode (Corporate Finance) | |
Ben Thompson (Corporate Finance) | |
Victoria Bates (Corporate Broking) | |
College Hill | |
Helen Tarbet | Tel: + 44 20 7457 2020 |
Mark Garraway | + 44 78 2560 9737 |
This information is provided by RNS
RNS news service provided by Hemscott Group Limited.
|
distributed by
|
