TIDMDLAR
RNS Number : 1298C
De La Rue PLC
11 April 2017
DE LA RUE PLC
Post-close Trading Update and Change of Directorate
11 April 2017
De La Rue plc (the "Group" or the "Company") today provides a
post-close trading update for the year ended 25 March 2017.
Full year revenue for the Group is in line with market
expectations. Full year underlying operating profit is now
anticipated to be above the top end of the market consensus*. This
outperformance has been driven by good growth in Identity Systems
and Product Authentication & Traceability product lines. The
Currency business has performed in line with market
expectations.
Following the completion of the $25m acquisition of DuPont
Authentication on 6 January 2017, net debt as at 25 March 2017 was
cGBP14m higher than at the end of the prior year at approximately
GBP120m.
While the sustained weakness of Sterling gives us a competitive
advantage in the export market, this benefit is substantially
offset by increased investment in R&D, product management and
sales capability, as well as the rising cost of raw materials such
as cotton. Hence overall the Board's expectations for the financial
year of 2017/18 remain unchanged.
Separately, Rupert Middleton, Chief Operating Officer and
Executive Director, has informed the Board of his intention to step
down from the Board after the AGM on 20 July 2017.
Rupert joined the Company as Managing Director, Supply Chain in
October 2011 before being appointed Chief Operating Officer and
Executive Director in July 2015. In the six years he has been at De
La Rue, Rupert has led a step change in a number of key areas,
including establishing an end to end Supply Chain function and an
extensive and far-reaching programme of operational excellence,
driving greater efficiencies, significant cost savings and quality
improvements. He also led a recent fundamental review of the
Group's manufacturing footprint, the first phase of which has
already been implemented.
The Board is very grateful to Rupert for his contribution and he
leaves with our best wishes for the future. The position will be
replaced by the newly created role of Chief Operations Director,
reporting to the CEO as a member of the Executive Leadership Team;
the appointment will not be a Board position. A search has been
commenced to identify suitable internal and external
candidates.
The Group will issue its 2016/17 full year results at 7a.m. BST
Tuesday 23 May 2017. Analyst presentation and conference call
details will be provided two weeks prior to the announcement.
This announcement has been determined to contain inside
information.
De La Rue plc's LEI code is 213800DH741LZWIJXP78
*The top end of market consensus of underlying operating profit
for the financial year ending 25 March 2017 is GBP66.4m. The
consensus data can be found in the Investors section of our website
www.delarue.com
- ends -
Enquiries:
+44 (0)1256
De La Rue plc 605000
Martin Sutherland Chief Executive Officer
Jitesh Sodha Chief Financial Officer
Lili Huang Head of Investor Relations
+44 (0)207 404
Brunswick 5959
Oliver Hughes
About De La Rue
De La Rue's purpose is to enable every citizen to participate
securely in the global economy. As a trusted partner of
governments, central banks and commercial organisations, De La Rue
provides products and services that underpin the integrity of
trade, personal identity and the movement of goods.
As the world's largest designer and commercial printer of
banknotes, De La Rue designs, manufactures and delivers banknotes,
banknote substrates and security features to customers in a world
where currency will continue to be a key part of the developing
payments eco-system. De La Rue is the only fully integrated
supplier of both paper and polymer banknotes, and creates security
features that ensure banknotes are protected against
counterfeiting.
De La Rue is the world's largest commercial designer and printer
of passports, delivering national and international identity tokens
and software solutions for governments in a world that is
increasingly focused on the importance of a legal and secure
identity for every individual.
De La Rue also creates and delivers secure product identifiers
and 'track and trace' software for governments and commercial
customers alike to help to tackle the challenge of illicit or
counterfeit goods and the collection of revenue and excise
duties.
De La Rue is listed on the London Stock Exchange (LSE:DLAR). For
further information visit www.delarue.com
Cautionary note regarding forward-looking statements
These results include statements that are, or may be deemed to
be, "forward-looking statements". These forward-looking statements
can be identified by the use of forward-looking terminology,
including the terms "believes", "estimates", "anticipates",
"expects", "intends", "plans", "goal", "target", "aim", "may",
"will", "would", "could" or "should" or, in each case, their
negative or other variations or comparable terminology. These
forward-looking statements include all matters that are not
historical facts. They appear in a number of places throughout
these results and the information incorporated by reference into
these results and include statements regarding the intentions,
beliefs or current expectations of the directors, De La Rue or the
Group concerning, amongst other things, the results of operations,
financial condition, liquidity, prospects, growth, strategies and
dividend policy of De La Rue and the industry in which it
operates.
By their nature, forward-looking statements involve risks and
uncertainties because they relate to events and depend on
circumstances that may or may not occur in the future and may be
beyond De La Rue's ability to control or predict. Forward-looking
statements are not guarantees of future performance. The Group's
actual results of operations, financial condition, liquidity,
dividend policy and the development of the industry in which it
operates may differ materially from the impression created by the
forward-looking statements contained in these results and/or the
information incorporated by reference into these results. In
addition, even if the results of operations, financial condition,
liquidity and dividend policy of the Group and the development of
the industry in which it operates, are consistent with the
forward-looking statements contained in these results and/or the
information incorporated by reference into these results, those
results or developments may not be indicative of results or
developments in subsequent periods.
Other than in accordance with its legal or regulatory
obligations, De La Rue does not undertake any obligation to update
or revise publicly any forward-looking statement, whether as a
result of new information, future events or otherwise.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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