FIH Group PLC AGM Statement (3668P)
August 31 2017 - 2:01AM
UK Regulatory
TIDMFIH
RNS Number : 3668P
FIH Group PLC
31 August 2017
31 August 2017
FIH group plc
AGM Statement
FIH group plc ("FIH", "the Company" or the "Group"), the
international services group which owns essential services
businesses in the UK and Falkland Islands is holding its Annual
General Meeting ("AGM") at the offices of FTI Consulting at 200
Aldersgate, London EC1A 4HD at 11.30 a.m. today.
At the meeting, interim Chairman, Jeremy Brade, will make the
following statement:
New Chairman
"I have been privileged to be interim Chairman of FIH for the
past 4 months. Following the announcement yesterday of the
appointment of Robin Williams, on 11 September, as permanent
non-executive Chairman, the AGM today is my last formal engagement
as Chairman before I step down to continue my previous role as an
independent non-executive director. I would like to state on behalf
of the board that we are delighted Robin has decided to join FIH as
Chairman and we look forward to his guidance and support in the
coming years. I know Robin is looking forward to meeting
shareholders and getting to know the Group and its operations in
more detail.
Resumption of Dividends
"As announced in the Group's annual report issued on 13 June
2017, subject to approval by shareholders at today's AGM, a final
dividend of 4.0p per FIH share will be paid on 22 September 2017 to
shareholders on the register at the close of business on 1
September 2017.
Update on Trading
"The Group's trading performance for the first five months of
the financial year was in line with the equivalent period in the
prior year. The Group's liquidity position remains strong with cash
balances of GBP15.25 million at 31 August 2017, compared to GBP13.0
million at same time last year. Profitability across the Group was
broadly similar to last year and cash flow has remained strong.
"In the Falkland Islands, in the absence of oil exploration in
the waters offshore, economic activity has reverted to a more
normal level. The first 5 months of the current year have not
benefitted from the final boost received from the departing oil
companies in Q1 2016-17 and year on year retail sales (down by
6.9%) also reflect the impact of increased competition from the
company's principal competitor, which increased its retail space by
33% in November 2016. On a more positive note, housebuilding
remained buoyant, and there was an improved squid catch.
"During the period oil prices remained flat at around $50bbl and
although Premier Oil, the largest licence holder in the North
Falklands basin, has made further progress in reducing its
projected production costs to around $45bbl, it seems unlikely that
development will take place without a sustained uplift in oil
prices.
"At Momart, activity in the early part of the financial year has
been encouraging, showing a modest improvement compared to last
year. Further gains have been made in the commercial Gallery
Services market and the company has continued to maintain its
market leading position with the foremost UK institutions and
museums. There has been encouraging progress in securing storage
clients for the new art storage warehouse at Leyton. Occupancy is
slightly ahead of budget, although revenues are still insufficient
to cover the facility's fixed costs. As noted in our 2017 Annual
Report there will be an inevitable drag on profits in the current
year until a break-even 66% occupancy is achieved which we hope to
see by 31 March 2018.
"At Portsmouth Harbour Ferry Company, passenger numbers in the
22 weeks to date showed a year-on-year decline of 1.9%, less than
the 5.1% decline experienced last year. The completion of the Hard
Interchange in June 2017 and the warm early summer weather saw
passenger numbers increase. The subsequent wet and windy mid-summer
weather dampened this initial encouraging start but August saw
passenger numbers move back once again into positive territory. The
arrival of the new carrier HMS Queen Elizabeth on 16 August to its
new home base in Portsmouth harbour and the longer term boost to
the local economy that its presence will bring should prove a
positive factor in the medium term. Ferry revenue and operating
profitability in the first 5 months was on a par with the prior
year.
Strengthened Board
"In addition to our new Chairman the Group's board has also been
strengthened by the arrival in May 2017 of Rob Johnston, a seasoned
public company director with extensive international business
experience. Rob represents the Company's largest shareholder, the
Article 6 Marital Trust which holds 28.9% of the Company's shares,
and I am delighted to welcome Rob to the board and his first FIH
AGM.
Progress on Acquisitions Search
"The board has continued to seek out suitable strategic
acquisitions to enhance shareholder value and attract greater
investor interest. New specialist M&A advisers have been
engaged to assist in the search and generate a flow of
opportunities. The Group is currently pursuing a number of
potential targets, although discussions remain in their early
stages. The board aims to secure a value accretive deal that offers
good prospects for growth in the medium term.
Outlook
"A flat trading performance is expected for the full year with
modest progress in the Group's UK businesses and continued quiet
trading conditions in the Falklands."
- Ends -
Enquiries:
FIH group plc
John Foster, Chief Executive Tel: 01279 461
630
WH Ireland Ltd. - NOMAD and
Broker to FIH
Adrian Hadden / Jessica Cave Tel: 020 7220
/ Alex Bond 1666
FTI Consulting - Communications
adviser to FIH
Edward Westropp / Eleanor Tel: 020 3727
Purdon 1000
This information is provided by RNS
The company news service from the London Stock Exchange
END
AGMBIGDILBXBGRG
(END) Dow Jones Newswires
August 31, 2017 02:01 ET (06:01 GMT)
Fih (LSE:FIH)
Historical Stock Chart
From Apr 2024 to May 2024
Fih (LSE:FIH)
Historical Stock Chart
From May 2023 to May 2024