Hill & Smith Holdings revenues remained stable in the first half of 2013, compared to the same period of 2012.
The international group with leading global positions in the manufacture and supply of infrastructure products and galvanising services, posted unaudited revenues of €255.77 million (£221.6 million) in H1 2013, down 1% on the €258.31 million (£223.8 million) recorded in H1 2012.
Although further unaudited results showed an 11% fall in underlying operating profit to €23.31 million in the first half of 2013, compared to €26.2 million in H1 2012, underlying profitability from Hill & Smith’s Roads business rose 100% to €6.23 million, compared to €3.11 million in the first half of last year.
Hill & Smith’s Utilities business was unable to replicate its impressive start to 2012 due to, in the group’s view, fewer large projects.
However, the Galvanising business delivered a “robust” performance in H1 2013, with improved profitability in the US.
Net debt of Hill & Smith increased to €118.3 million in H1 2013, compared to €100.18 million as of 31 December 2012, primarily as a result of the acquisition of Medway Galvanising in the UK and completion of the new galvanising plant in Columbus, USA.
Commenting on the H1 2013 unaudited results, Derek Muir, Hill & Smith chief executive, said, “After a slow first quarter, we are now seeing evidence of increased project momentum in infrastructure products and expect a stronger second half (H2 2013), albeit tempered by the reduced pipe supports order book for delivery in 2013.
“In Galvanising, the US remains strong at similar levels to 2012 with continued benefits from operational efficiencies and production from the new plant in Columbus as from April 2013. Whilst the French galvanising market remains challenging, the UK is broadly in line with last year and will benefit from the acquisition of Medway Galvanising, which was completed on 30 April 2013.”
Muir said that although Hill & Smith management retained previous expectations of greater performance gains in the second half of 2013, the full year performance forecast was “marginally below our previous expectations”.
He added, “The board remains confident that, in the medium to long term, our international diversity and market strength will continue to provide the resilience of performance seen in previous years.”
The international group with leading global positions in the manufacture and supply of infrastructure products and galvanising services, posted unaudited revenues of €255.77 million (£221.6 million) in H1 2013, down 1% on the €258.31 million (£223.8 million) recorded in H1 2012.
Although further unaudited results showed an 11% fall in underlying operating profit to €23.31 million in the first half of 2013, compared to €26.2 million in H1 2012, underlying profitability from Hill & Smith’s Roads business rose 100% to €6.23 million, compared to €3.11 million in the first half of last year.
Hill & Smith’s Utilities business was unable to replicate its impressive start to 2012 due to, in the group’s view, fewer large projects.
However, the Galvanising business delivered a “robust” performance in H1 2013, with improved profitability in the US.
Net debt of Hill & Smith increased to €118.3 million in H1 2013, compared to €100.18 million as of 31 December 2012, primarily as a result of the acquisition of Medway Galvanising in the UK and completion of the new galvanising plant in Columbus, USA.
Commenting on the H1 2013 unaudited results, Derek Muir, Hill & Smith chief executive, said, “After a slow first quarter, we are now seeing evidence of increased project momentum in infrastructure products and expect a stronger second half (H2 2013), albeit tempered by the reduced pipe supports order book for delivery in 2013.
“In Galvanising, the US remains strong at similar levels to 2012 with continued benefits from operational efficiencies and production from the new plant in Columbus as from April 2013. Whilst the French galvanising market remains challenging, the UK is broadly in line with last year and will benefit from the acquisition of Medway Galvanising, which was completed on 30 April 2013.”
Muir said that although Hill & Smith management retained previous expectations of greater performance gains in the second half of 2013, the full year performance forecast was “marginally below our previous expectations”.
He added, “The board remains confident that, in the medium to long term, our international diversity and market strength will continue to provide the resilience of performance seen in previous years.”
