Halma PLC hold profit guidance steady as revenue declines gradually ease
Trading in the US and continental Europe has been the most resilient, while the UK and Asia Pacific were said to be more challenging
() says its negative revenue trends have improved in the past few months but it still expects adjusted profits to be down 5-10% for the year to end-March 2021.
The FTSE 100 group also said its chairman, Paul Walker, will step down from the board by next July after eight years in the role. The process to find a replacement has begun.
Having already reported a 13% decline in sales in the first quarter, the manufacturer of lift door sensors, medical instruments and other banal but important devices said “revenue trends have gradually improved” since.
Trading in the US and continental Europe has been the most resilient in the coronavirus pandemic, while the UK and Asia Pacific were said to be more challenging.
In terms of business lines, Environmental & Analysis has performed well, Medical has “started to see a modest improvement in demand for products related to elective surgical and diagnostic procedures”, Safety has been impacted by restrictions on physical access to sites amid the pandemic.
The FTSE 100 group said it continued to control costs and working capital to protect profit and ensure good cash generation.
Full-year profit guidance remained unchanged in light of “the evolving and uncertain situation in our major markets”, with profit expected to be more weighted to the second half than in previous years.
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