DIALIGHT PLC — Management Reports 2014

Nov 19, 2014

National Storage Mechanism | Additional information

You don't have Javascript enabled. For full functionality this page requires javascript to be enabled.

RNS Number : 3886X

Dialight PLC

19 November 2014

19 November 2014

Dialight plc

("Dialight" or the "Company")

Interim Management Statement

Dialight plc (LSE: DIA.L), the UK-based market leader in LED lighting, today publishes its Interim Management Statement for the period from 1 July 2014 to 18 November 2014.

Our Lighting business continues to perform well, with strong sales and order growth in the year to date. We have continued to invest for further growth in our Lighting business by strengthening our sales teams and increasing the capacity and capability of our Mexican plant. We are also well advanced with plans to increase production capacity in Malaysia. These measures will increase Lighting's productive capacity to meet our anticipated growth trajectory for the medium term.

As in recent years, Lighting's orders are weighted to the second half of the year and in particular to the seasonally-strong fourth quarter. Order input to date, especially in North America, has been robust. Sales during the period have lagged behind orders because of certain component delays and some disruption arising from our investment to increase production capacity and capability. Both of these sources of delay have now been resolved and production is currently running at levels sufficient to meet year-end expectations. While any further major unforeseen disruptions to production could result in additional slippage this year, we are encouraged that underlying market demand is strong and production is running smoothly at this time.

In the Signals Segment, the performance of our Obstruction business continued to improve steadily. Our Traffic business remained in line with expectations.

The performance of our Components segment remained steady. This business continues to make a solid contribution to the Group's profitability and cash generation.

The Group's net debt at the end of October was £4.2m compared with £1m of net cash at the same stage in 2013. The absorption of cash reflects higher working capital due to our growth in Lighting and the increased investment highlighted above.

We are encouraged by the strong demand for LED lighting that we have experienced in recent months and our expectations for the full year remain unchanged.  

Contacts:

Dialight PLC

Roy Burton - Group Chief Executive 

Fariyal Khanbabi - Group Finance Director

Tel: 01638 778641

Canaccord Genuity Limited

Simon Bridges

Tel: +44 (0) 20 7523 8000 

FTI Consulting

Nick Hasell

+44 (0)20 3727 1340

About Dialight plc

The Group comprises the following business segments:

Lighting which addresses the increasing demands for Energy Efficient Lighting solutions for industrial/hazardous locations;

Signals that covers Traffic, Transportation and Obstruction signals; and

Components whose sales are primarily to Electronics OEMs for status indication.

The company is headquartered in the UK with operating locations in Australia, Brazil, Denmark, Germany, Malaysia, Mexico, Singapore, UAE, the UK and the USA. More information is available at www.dialight.com.

This information is provided by RNS

The company news service from the London Stock Exchange

END

IMSBPBBTMBIBTAI