Exova Group Limited, the holding company of Exova PLC, has published its statutory accounts for the year ended 31 December 2010. These accounts, together with the accounts of Exova Holdings Limited, can be accessed by the links opposite.

Exova has delivered a robust performance in 2010 despite challenging economic conditions, particularly in the earlier part of the year.

 

 

Financial summary - 12 months to 31 December 2010

Revenue up 3.1% from £221.1m to £227.9m

•    Return to growth in the second quarter of 2010.
•    Improving sales trend throughout the year with growth increasing to 8.4% in the fourth quarter of 2010.

Increase in Adjusted EBITDA

•    Adjusted EBITDA (before restructuring costs and management fee to private equity investor) increased by 3.7% from £43.0m to £44.6m.

Solid financial position

•    Issued £155m of senior loan notes in October 2010 and repaid a portion of the senior bank facilities.
•    No repayments scheduled on the senior bank facilities until 2016 and beyond with the senior loan notes repayable in 2018.
•    £35.9m of committed but undrawn facilities at the end of 2010. 

Operational summary and current developments

Resilient profitability and cash flow generation

•    Highly diversified across business sectors, geographies and customers providing a natural hedge against regional and business specific downturns.
•    Well invested asset base with flexible capital expenditure profile supporting resilient cash flow generation.

 

Investment for long term growth

•    Strengthened management team in 2010 including new President in the Americas, Group HR Director  and four new sector directors.
•    Realigned the sales organisation, systems, sales processes, incentives and rewards.
•    Appointment of new CEO, Ian El-Mokadem, in 2011 to lead the business through the next stage of profitable growth.

Focus on customer service and operational excellence

•    Appointment of Group Technical Director in 2011 to implement a new technical leadership structure.
•    Roll out of ‘Lean’ operational best practice.

Outlook

•    Market and business performance trends in 2010 suggest continued recovery in many of the Group’s sectors in 2011.
•    Business well positioned for growth both organically as markets recover and by bolt-on acquisitions should attractive opportunities arise.
•    Continued development of people, processes, expertise and investment in technologies to support our clients’ ambitions.