REG - Kinovo PLC - Trading Update

KinovoAnnouncement

02/05/2024 07:00

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RNS Number : 9158M  Kinovo PLC  02 May 2024

2 May 2024

 

Kinovo plc

("Kinovo", the "Company" or the "Group")

 

Trading Update

 

Full Year results anticipated to be ahead of expectations

 

Kinovo Plc (AIM: KINO), the specialist property services Group that delivers
compliance and sustainability solutions, is pleased to announce that it
expects its results for the continuing business in the year ended 31 March
2024 to be ahead of prior expectations. Numbers presented are subject to
audit.

The Company expects to report an adjusted EBITDA, for the continuing business,
of £6.7 million for FY24, 23% ahead of previous year (FY23: £5.5 million)
and ahead of prior management expectations of £6.2 million, as disclosed on 9
February 2024, for the full year ending 31 March 2024.

The Company also expects to report revenues for FY24 of approximately £64
million (FY23: £62.7 million), reflecting a different revenue mix of projects
contracted in the year and including the strategic exit from a private sector
mechanical contract amounting to £3.6 million in revenue. As previously
highlighted, certain planned workstreams in FY24 have experienced some client
related administrative delays and are therefore now expected to be delivered
in the year ahead.

This performance reflects the successful implementation of Kinovo's growth
strategy, centred around the three pillars of Regulation, Regeneration and
Renewables, supporting the increasing regulatory, legislation and "carbon net
zero" challenges for our clients, as well as a strong mix of works and
stringent cost control management.

Discontinued Operations

In regards DCB Kent ("DCB"), Kinovo's former construction subsidiary, the
Company is also pleased to confirm that it has achieved practical completion
on a further four sites, concluding a total of seven of the nine projects.
Timings for the statutory gas connection of the penultimate site has now been
confirmed and will therefore be due to complete by early July 2024 with Kinovo
remaining in discussions regarding the final project (due to complete in
2026). The anticipated financial liabilities for DCB remain in line with that
disclosed on 8 March 2024.

A more detailed Trading Update will be provided to the market in the second
half of May.

David Bullen, Chief Executive Officer of Kinovo plc, commented:

"I am delighted we have achieved such a strong full year performance,
reiterating the strength of the continuing business whilst reaping the rewards
of our growth strategy. Our FY24 performance proves again the robustness and
resilience of the Group and, with the residual legacy issues of DCB closer to
being completed, we remain focused on capitalising on further growth
opportunities and maximising shareholder value creation."

 

This announcement contains inside information for the purposes of article 7 of
the Market Abuse Regulation (EU) 596/2014 as amended by regulation 11 of the
Market Abuse (Amendment) (EU Exit) Regulations 2019/310. With the publication
of this announcement, this information is now considered to be in the public
domain.

Enquiries

 Kinovo plc
 Sangita Shah, Chairman                                          +44 (0)20 7796 4133

 David Bullen, Chief Executive Officer                           (via Hudson Sandler)

 Canaccord Genuity Limited (Nominated Adviser and Sole Broker)   +44 (0)20 7523 8000
 Adam James

 Andrew Potts

 Harry Rees

 Hudson Sandler (Financial PR)                                   +44 (0)20 7796 4133
 Dan de Belder

 Harry Griffiths

 

 

 

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