TIDMSOM

RNS Number : 7955F

Somero Enterprises Inc.

19 November 2020

19 November 2020

Somero Enterprises, Inc.

("Somero" or "the Company")

Trading Update

Positive momentum heading towards year end, exceeding revised guidance

Somero(R) provides the following update on trading for the current financial year, ending 31 December 2020.

The Board is pleased to report that as a result of positive trading momentum from the end of H1 2020 continuing through H2 2020, it now expects to exceed its previous reinstated expectations for FY 2020. In the 9 September 2020 interim results statement, the Company reinstated guidance for FY 2020, indicating revenues were expected to approximate US$ 75.0m, adjusted EBITDA was expected to approximate US$ 19.0m, and ending net cash was expected to approximate US$ 20.0m. Based on the strong, profitable trading and healthy cash generation in H2 2020, the Board now expects FY 2020 annual revenues will approximate US$ 80.0m, adjusted EBITDA will approximate US$ 21.0m, and ending net cash will approximate US$ 26.0m.

The improved performance has been led by healthy trading in an active US market, strong contributions from new products - particularly the SRS-4 and the recently launched Broom + Cure(TM) - and an increase in revenues from the SkyScreed family of products due to an easing of job-site restrictions in H2 2020. The strong cash generation in H2 2020 is a direct result of effective working capital management and healthy cash collections. Performance in the Company's non-US markets, and the remaining products in the Company's portfolio, are tracking generally in line with previous expectations.

The Company expects to provide a further update on FY 2020 in January 2021 consistent with prior years.

The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.

 
 
 
  Enquiries: 
Somero Enterprises, Inc. www.somero.com 
 Jack Cooney, CEO +1 239 210 6500 
 John Yuncza, CFO 
 Howard Hohmann, EVP Sales 
 
 finnCap Ltd (NOMAD and Broker) 
 Matt Goode (Corporate Finance) +44 (0)20 7220 0500 
 Carl Holmes (Corporate Finance) 
 Tim Redfern (Corporate Broking) 
 
 Alma PR (Financial PR Advisor) somero@almapr.co.uk 
 Rebecca Sanders-Hewett +44 (0) 2034 050 205 
 David Ison 
 Sam Modlin

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November 19, 2020 02:00 ET (07:00 GMT)

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