City Briefs: Genuit, Palace Capital, Powerhouse Energy
Genuit Group said it expects full-year operating profit a little above market expectations in a trading update this morning.
The sustainable water and climate product provider said its trading over the last four months has been resilient in the face of economic uncertainty, and in line with management expectations. Revenues in the 10 months to the end of October were £504m, 4.8% below the previous year on a like-for-like basis.
The group has focused on business simplification to increase operational efficiency and mitigate the impact of lower volumes. It has reduced its net debt, which will be below £40m at year end.
Chief executive Joe Vorih said, “We have made good progress over the last four months, with demand in our drainage, storm water and ventilation markets holding up well, supported by structural and sustainability growth drivers. Our continued focus on simplifying the business and driving operating efficiencies means that we are well positioned to navigate the current uncertain environment and benefit from incremental margin improvement when volumes return to more normal levels.”
===
Palace Capital said sales at Hudson Quarter, York, have slowed, reflecting the wider market. It has sold six apartments since the end of March, with two under offer, leaving 16 units to sell.
In its interim results, the firm said it adjusted pretax profits in the six months to the end of September were £2.3m, down 34% on the same period last year. It had reduced its drawn debt from £64m to £20m over the same period.
Executive chair Steven Owen said, “Operationally, the business remains robust. The team has been proactive in implementing asset management plans to increase income and reduce void costs with lettings, renewals and rent reviews on average 3% ahead of the 31 March 2023 estimated rental values.”
===
Tony Gardiner-Hillman has resigned as non-executive chair of Powerhouse Energy Group, and from its board. He will remain in post until 15 December to support a smooth handover to temporary successor David Hitchcock and support the acting chief executive. A permanent successor will be announced later.
Gardiner-Hillman said, “I have thoroughly enjoyed working with the team and my time at Powerhouse. Through my tenure I have worked to help the business identify and protect against the challenges it shares with many early-stage businesses and become more robust. I hope I have made a positive mark. However, I have now decided that I need to relinquish my position and I wish the company and the team every success in the future.”
Acting chief executive Paul Emmitt said, “Tony has had a significant beneficial influence on the business in the short time he has been with the company, and I am grateful for the support and guidance he has given to me and to the board. Naturally, I am disappointed he is leaving, but he will do so with thanks and best wishes from the Board, and from key stakeholders with whom he quickly built positive relationships.”
