LED manufacturer sees profits light up as it makes £10m swoop
LED lighting manufacturer and distributor Luceco has doubled its profit over the last two years and entered the EV market, the company revealed in its year-end results this morning (March 22).
Seeing revenue rise to £228.2m, this is 29.5% higher than in 2020 and 32.6% higher than in 2019 which the company says is down to its market focus and business model.
Luceco has swooped for EV charge point supplier Sync EV, based in Surrey, in a deal worth £10m.
Sync EV supplies smart charge points for residential installations and Luceco acquired a 20% share in August.
Following a period of strong sales growth, has now completed the acquisition of the remaining 80% which has been paid in cash.
For the unaudited period of 12 months ended 28 February 2022, Sync EV generated revenue of £4m, of which almost 65% was in the second half.
The business will be integrated into Luceco’s sales and distribution operations in Telford. The management team will remain with the business post-acquisition.
Chief executive officer, John Hornby said: “We favour RMI construction markets because of their resilience in uncertain times, and undoubtedly benefited from that focus in 2021. But it was our advantaged business model, with its inbuilt resilience and agility, combined with our “can-do” culture, that allowed us to prosper more than most.
“Such strong progress in 2021 naturally creates a tough comparative, particularly in the first half when UK residential RMI activity was at a lockdown-driven peak. We therefore expect revenue in the first half of 2022 to be broadly in line with last year. We are mindful that recent geopolitical developments, and their associated impact on inflation, may make progress harder during the year.”
“Sync EV is a small but rapidly growing business with a strong brand and a management team with an excellent understanding of the residential EV charging product category and the professional installer. We are excited by the potential of combining these strengths with Luceco’s product development, manufacturing and distribution capabilities.”