Last checked at 13 Sep 2016 07:00
13 September 2016
COHORT PLC ("Cohort")
AGM Statement & First Quarter Update
Cohort, the independent technology group, is today holding its Annual General Meeting. The Chairman, Nick Prest, will make the following remarks to the meeting:
"Cohort again improved its performance last year, achieving record revenue, adjusted operating profit and closing net funds. MASS, MCL and SEA all recorded growth in adjusted operating profit. After some delay, the Group completed the acquisition of EID, a Portugal based defence business. I take this opportunity to welcome EID to the Group as our fifth operating business and look forward to its positive contribution this coming year and thereafter.
The Group's order book stood at £128m as at 31 August 2016, underpinning a higher proportion of our externally forecast revenue for the year compared to this time last year. The pipeline of orders beyond this and expected renewals give us confidence that the overall performance for the year will be in line with expectations, despite SCS's market in technical consultancy remaining a challenge.
"The group's net funds as at 31 August 2016 stood at £14.4m. The reduction in the Group's cash position since the year end was as signalled in our final results statement, stemming from the partial reversal of working capital inflow during a very strong fourth quarter of last year. A further £9m is expected to be spent in the rest of this financial year in acquiring a further 23% of EID, taking our holding to 80%, and the remainder of the shares (49.999%) of MCL, taking our holding to 100%.
"Our emphasis continues to be on driving further growth, supported by a continuing strong funding position. We are pleased to have started the year with the completion of the acquisition of EID and the Board considers that Cohort's order book and near-term prospects provide a good base for future progress".
Ends
For further information, please contact:
Cohort plc |
| 0118 909 0390 |
Andrew Thomis, Chief ExecutiveSimon Walther, Finance Director |
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Investec Bank plc |
| 020 7597 5970 |
Keith Anderson / Daniel Adams |
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MHP Communications Limited |
| 020 3128 8100 |
Reg Hoare / Jamie Ricketts / Ollie Hoare |
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NOTES TO EDITORS
Cohort plc
Cohort is an independent technology group working primarily for defence (air, land and sea), wider government and industry clients, through five market-facing subsidiary companies:
MASS - a specialist systems house with a focus on electronic warfare operational support, cyber defence and secure information systems. Based in Cambridgeshire, MASS was acquired by Cohort in August 2006;
MCL - an expert in sourcing, design and integration of surveillance and other electronic systems, as well as field support and training for the UK MOD and other government agencies. Based in Surrey, MCL has been part of the Group since July 2014;
SCS - a defence technical advisory business, providing a range of services, including independent technical evaluation of military aircraft safety, and design and delivery of large and small scale military training exercises. Owned by Cohort since flotation in March 2006;
SEA - an advanced systems and software business operating in the defence (naval systems, simulation, training and technology research), transport and offshore energy market sectors. Acquired by Cohort in October 2007.
EID - a Portugal based supplier of advanced electronics, communications and command and control products and systems for the global defence market, in which Cohort acquired a majority stake in June 2016.
Cohort was admitted to London's Alternative Investment Market in March 2006. It has its headquarters in Berkshire and employs in total around 800 core staff there and at its other operating company sites in Bristol, Cambridgeshire, Devon, Lincolnshire, Somerset, Surrey, Scotland and Portugal.