Volex (VLX)

Sector:

Electronic and Electrical Equipment

Index:

FTSE AIM 50

288.00p
   
  • Change Today:
      5.00p
  • 52 Week High: 335.00
  • 52 Week Low: 202.00
  • Currency: UK Pounds
  • Shares Issued: 181.62m
  • Volume: 635,048
  • Market Cap: £523.06m
  • RiskGrade: 228

Robust demand, recent acquisitions drive Volex performance

By Josh White

Date: Wednesday 09 Nov 2022

LONDON (ShareCast) - (Sharecast News) - Power products and manufacturing services provider Volex reported organic revenue growth of 14.3% in its first half on Wednesday, delivering total revenue of $357.5m, including $35m from acquisitions.
The AIM-traded firm said its underlying operating profit for the 26 weeks ended 2 October was ahead 17.6% year-on-year at $32.1m, underpinned by "robust" customer demand and "proactive management" of inflationary cost increases.

Its underlying operating margin stood at 9%, which the board said demonstrated its "effective" inflation management and cost control.

Volex said it was seeing "robust" customer demand across its markets, supported by additional contract wins with new and existing customers.

It acquired the Review Display Systems Group (RDS) in the UK in the period for an initial consideration of $6m, which it said would enhance its capabilities and accelerate growth in the market.

Integration and transition plans for recent acquisitions were progressing well, as the board also described "good progress" towards its five-year growth plan, supported by a "continued customer-led" investment programme.

The board hiked the interim dividend by 8.3%, to 1.3p per share.

"We have built a strong, resilient business, aligned to key market sectors with long-term structural growth characteristics," said executive chairman Nat Rothschild.

"We have shown that we are capable of managing supply chain and inflationary pressures effectively, while simultaneously continuing to win new projects and expand opportunities with existing customers.

"We continue to report strong organic sales growth, building on the momentum generated last year whilst maintaining our margins within our target range and demonstrating our ability to effectively pass through inflationary-driven increases."

Rothschild noted that in June, the company set out an "ambitious" new five-year plan, to grow revenues to $1.2bn by the 2027 financial year.

"These results demonstrate the value added by our investment programme and our ongoing ability to deliver against this plan.

"We are confident that our strategy and operating model provide us with the opportunity to deliver long-term organic growth alongside complementary, earnings-enhancing acquisitions.

"Our strong performance in the first half of the year, clear strategy and pipeline of customer opportunities underpins our confidence to reaffirm our outlook for the remainder of the year."

At 1239 GMT, shares in Volex were down 4.08% at 261.86p.

Reporting by Josh White for Sharecast.com.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Volex Market Data

Currency UK Pounds
Share Price 288.00p
Change Today 5.00p
% Change 1.77 %
52 Week High 335.00
52 Week Low 202.00
Volume 635,048
Shares Issued 181.62m
Market Cap £523.06m
RiskGrade 228

Volex Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
66.01% below the market average66.01% below the market average66.01% below the market average66.01% below the market average66.01% below the market average
17.65% below the sector average17.65% below the sector average17.65% below the sector average17.65% below the sector average17.65% below the sector average
Price Trend
46.97% above the market average46.97% above the market average46.97% above the market average46.97% above the market average46.97% above the market average
64.10% above the sector average64.10% above the sector average64.10% above the sector average64.10% above the sector average64.10% above the sector average
Income
49.56% below the market average49.56% below the market average49.56% below the market average49.56% below the market average49.56% below the market average
42.86% below the sector average42.86% below the sector average42.86% below the sector average42.86% below the sector average42.86% below the sector average
Growth
40.33% above the market average40.33% above the market average40.33% above the market average40.33% above the market average40.33% above the market average
82.35% above the sector average82.35% above the sector average82.35% above the sector average82.35% above the sector average82.35% above the sector average

What The Brokers Say

Strong Buy 3
Buy 2
Neutral 0
Sell 0
Strong Sell 0
Total 5
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Volex Dividends

  Latest Previous
  Interim Final
Ex-Div 30-Nov-23 20-Jul-23
Paid 10-Jan-24 25-Aug-23
Amount 1.40p 2.60p

Trades for 28-Mar-2024

Time Volume / Share Price
16:35 26,950 @ 288.00p
16:35 1 @ 288.00p
16:35 202 @ 288.00p
16:35 203 @ 288.00p
16:35 203 @ 288.00p

Volex Key Personnel

CFO Jon Boaden

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