LONDON – Trifast plc (LSE:TRI), a global industrial fastening company, announced today that its performance for the six months ending September 30, 2024, has met management expectations despite a slight decrease in revenue. The company reported a year-on-year revenue reduction of approximately 3.1% due to softer demand across various markets. However, Trifast highlighted an improvement in gross margin by about 150 basis points.
The company’s underlying operating costs have been effectively managed throughout the period, reflecting the benefits of ongoing self-help initiatives and the execution of its strategic plan termed Recover, Rebuild and Resilience. Trifast also confirmed it remains on track to realize phased cost savings of close to £3 million from its operational improvement program, which includes a 10% reduction in non-operating headcount and the successful consolidation of UK facilities into the West Midlands National Distribution Centre.
Trifast has also reported a significant reduction in pre-IFRS 16 net debt, which stood at approximately £15.8 million as of September 30, 2024, down £12 million from the previous year. The company maintains a strong liquidity position, with over £78 million of its £120 million banking facilities remaining undrawn. Additionally, Trifast’s covenant leverage has improved to around 0.95 times, down from 1.56 times in the first half of the previous fiscal year.
Looking ahead, despite the anticipation of continued global macro-economic and geopolitical uncertainties that may dampen demand in the second half of the fiscal year, Trifast’s board maintains its expectations for the year ending March 31, 2025, unchanged. This outlook is based on the company’s ongoing margin management and working capital efficiency programs.
Trifast will publish its half-year report on November 19, 2024, and will provide an update on its strategy during a live presentation with the opportunity for stakeholders to submit questions. The presentation will feature CEO Iain Percival and CFO Kate Ferguson discussing the company’s half-year results and progress.
This trading update and notice of half-year results are based on a press release statement from Trifast plc.
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