Final Results for the year ended 31 October 2019
Velocity Composites plc is pleased to report its audited results for the year ended 31 October 2019 (“FY19”).
- Revenue stable at £24.3m (FY18: £24.5m)
- Gross margin improved significantly to 21.7% for FY19 (FY18: 18.3%) through continued operational focus
- Operating loss for FY19 of £0.6m (FY18: Loss £1.1m), after charging £0.7m of exceptional administrative expenses
- Adjusted EBITDA* for FY19 of £0.6m (FY18: Loss £0.2m) achieved through improvement in gross margin combined with cost management
- Loss per ordinary share (Basic) of 1.77p (FY18: Loss 2.78p)
- Cash at Bank at 31 October 2019 of £3.4m (FY18: £4.7m and £4.1m after invoice discounting) including £1.6m of EIS funds earmarked for investment in new production facilities in the USA and Europe and the Group’s new R&D centre
- Long Term Agreement extension agreed with largest customer to provide composite material kits across the Airbus range of aircraft and regional business jets
- Boeing approval to produce structural composite kits for its single aisle narrow body jet platform and extension to Long Term Agreement
- Appointment of Andy Beaden as Chairman and Rob Soen as an Independent Non-Executive Director
- Reappointment of Jon Bridges, founder and Chief Executive Officer, to the Velocity Board
*Adjusted Earnings before Interest, Tax, Depreciation and Amortisation (“EBITDA”) adjusted for exceptional administrative costs and share based payment charges.
Andy Beaden, Chairman of Velocity, said:
“I am pleased to report our results for the year ended 31 October 2019 with stable revenues at £24.3m, a significant improvement in operational performance, and a cash at Bank balance of £3.4m. My first months at Velocity have more than confirmed this is an exciting and ambitious business with talented staff who are focused on creating shareholder value through revenue growth and lean manufacturing-based operational excellence.”