TIDMDSCV
RNS Number : 0783B
discoverIE Group plc
09 February 2022
For Release
7.00am, 9 February 2022
discoverIE Group plc
Change to Operating Segments
discoverIE Group plc (LSE: DSCV, "discoverIE" or the "Group"), a
leading international designer and manufacturer of customised
electronics for industrial applications, is today announcing new
reportable operating segments.
Last quarter, the Group announced the disposals of the Acal BFi
distribution business and the Vertec SA business, both subject to
certain regulatory approvals. The disposal of Vertec SA has now
completed and the sale of Acal BFi is expected to complete this
quarter. These disposals conclude the Group's exit from its
distribution operations and in accordance with IFRS5, its Custom
Supply division was treated as a discontinued operation in the
Group's results for the six months ended 30 September 2021, with
the Group's continuing operations at that time being the Design
& Manufacturing ("D&M") division.
Reflecting the development of the business over recent years and
in line with certain growth initiatives, the Group has now divided
the ongoing D&M division into two operating segments, the
Magnetics & Controls division ("M&C") and the Sensing &
Connectivity division ("S&C").
This new structure, which aligns business units by technology
area, will enable greater collaboration between business units and
improve visibility for the Group's growth initiatives. Both
divisions have good exposure to the Group's target markets and
geographies. The management and structure of each business unit is
unchanged.
The Magnetics & Controls division comprises the magnetic
components businesses and the embedded computing and interface
controls businesses. The division consists of eight businesses
including a magnetics cluster and will be led Martin Pangels,
previously Group Development Director for D&M division and a
long standing member of the Group Executive Committee ('GEC').
The Sensing & Connectivity division comprises a cluster of
five component sensing businesses and seven component connectivity
businesses and will be led by Paul Hill, a GEC member since
December 2021 and prior to that, CEO of recently acquired
Antenova.
The following tables show the restated underlying operating
performance (unaudited) for the Group's ongoing operations on the
new divisional basis for the six months ended 30 September 2021 and
2020, and the full year ended 31 March 2021. The consolidated
results for the Continuing Group are unchanged.
H1 2021/22 H1 2020/21 Reported Organic Organic
revenue revenue order
growth growth growth
------------------------------
Revenue Underlying Margin Revenue Underlying Margin
GBPm operating GBPm operating
profit profit
GBPm GBPm
-------- ------------ ------- -------- ----------- -------
M&C 105.4 12.8 12.1% 90.8 10.4 11.5% 16% 18% 66%
S&C 68.9 11.1 16.1% 53.0 7.1 13.4% 30% 10% 60%
Unallocated (5.9) (3.9)
Total 174.3 18.0 10.3% 143.8 13.6 9.5% 21% 15% 64%
FY 2020/21
Revenue Underlying Margin
GBPm operating
profit
GBPm
-------- ------------ -------
M&C 190.4 23.4 12.3%
S&C 112.4 15.5 13.8%
Unallocated (8.1)
Total 302.8 30.8 10.2%
Further historical divisional analysis is provided in Appendix
1.
For further information, please contact:
discoverIE Group plc 01483 544 500
Nick Jefferies Group Chief Executive
Simon Gibbins Group Finance Director
Lili Huang Head of Investor Relations
Buchanan 020 7466 5000
Chris Lane, Toto Berger, Jack Devoy
discoverIE@buchanan.uk.com
Notes
1. Underlying Operating Profit is a non-IFRS financial measure
used by the Directors to assess the underlying performance of the
Group and excludes acquisition-related costs (amortisation of
acquired intangible assets and acquisition expenses). Prior years
also excluded the IAS19 pension-related charge.
Notes to Editors:
About discoverIE Group plc
discoverIE Group plc is an international group of businesses
that designs and manufactures innovative electronic components for
industrial applications.
The Group provides application-specific components to original
equipment manufacturers ("OEMs") internationally. By designing
components that meet customers' unique requirements, which are then
manufactured and supplied throughout the life of their production,
a high level of repeating revenue is generated with long term
customer relationships.
With a focus on key markets driven by structural growth and
increasing electronic content, namely renewable energy, medical,
transportation and industrial & connectivity, the Group aims to
achieve organic growth that is well ahead of GDP and to supplement
that with targeted complementary acquisitions. The Group has an
ongoing commitment to reducing the impact of its operations on the
environment, while its key markets are aligned with a sustainable
future.
The Group's continuing operations employs c.4,500 people and its
principal operating units are located in Continental Europe, the
UK, China, Sri Lanka, India and North America.
The Group is listed on the Main Market of the London Stock
Exchange and is a member of the FTSE250, classified within the
Electrical Components and Equipment subsector.
Appendix 1
Six months to 30 September 2021 (unaudited)
Magnetics Sensing & Unallocated Total continuing
& Controls Connectivity costs operations
GBPm GBPm GBPm GBPm
Revenue 105.4 68.9 - 174.3
------------------------------------- ------------ -------------- ------------ -----------------
Underlying operating profit/(loss) 12.8 11.1 (5.9) 18.0
Acquisition expenses (2.0) (1.3) - (3.3)
Amortisation of acquired intangible
assets (1.9) (4.5) - (6.4)
Operating profit/(loss) 8.9 5.3 (5.9) 8.3
------------------------------------- ------------ -------------- ------------ -----------------
Six months to 30 September 2020 (unaudited)
Magnetics Sensing & Unallocated Total continuing
& Controls Connectivity costs operations
GBPm GBPm GBPm GBPm
Revenue 90.8 53.0 - 143.8
------------------------------------- ------------ -------------- ------------ -----------------
Underlying operating profit/(loss) 10.4 7.1 (3.9) 13.6
Acquisition expenses (0.3) (0.3) - (0.6)
Amortisation of acquired intangible
assets (1.7) (3.6) - (5.3)
IAS 19 pension charge - - (0.2) (0.2)
Operating profit/(loss) 8.4 3.2 (4.1) 7.5
------------------------------------- ------------ -------------- ------------ -----------------
Year to 31 March 2021 (unaudited)
Magnetics Sensing Unallocated Total continuing
& Controls & Connectivity costs operations
GBPm GBPm GBPm GBPm
Revenue 190.4 112.4 - 302.8
------------------------------------- ------------ ---------------- ------------ -----------------
Underlying operating profit/(loss) 23.4 15.5 (8.1) 30.8
Acquisition expenses (0.8) (0.4) - (1.2)
Amortisation of acquired intangible
assets (3.5) (7.6) - (11.1)
IAS 19 pension charge - - (1.4) (1.4)
Operating profit/(loss) 19.1 7.5 (9.5) 17.1
------------------------------------- ------------ ---------------- ------------ -----------------
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCUPURWPUPPGMR
(END) Dow Jones Newswires
February 09, 2022 01:59 ET (06:59 GMT)
Discoverie (LSE:DSCV)
Historical Stock Chart
From Jun 2024 to Jul 2024
Discoverie (LSE:DSCV)
Historical Stock Chart
From Jul 2023 to Jul 2024
