Following the release of Strix Group PLC (LON:KETL) results, David Larkam, Analyst at leading investment research and consultancy firm Edison Group told DirectorsTalk Interviews:
“Strix Group PLC performed well in the year ended December 2021, reporting a revenue increase of 28.8% to £119.4m. This was partly driven by the recently acquired LAICA S.p.A, which generated revenues of £22.7m. £5.5m of revenue came from organic growth, a 6.0% increase from FY20. The board has proposed an increased final dividend of 5.60p per share, up from 5.25p in 2020.
Adjusted profit before tax was £32.2m, a rise of 4.2%. The group’s core segments all saw revenue growth, with the appliance category increasing by a significant 244.4% and water revenues by 82.3%. The kettle control category was up 6.6% to £85.1m.
The group made a number of strategic developments throughout the year, including the completion of new manufacturing operations in Guangzhou. The new factory is anticipated to double the Group’s manufacturing capacity.
Looking ahead, the group faces a number of widespread external and macroeconomic challenges, including increased commodity prices and freight chain cost inflation. However, management emphasised that the group has a resilient structure and is on track to meet its medium-term target to double its revenue. These results provide a strong foundation for the group’s progress, and investors will keep a close eye on whether momentum can be sustained.”
Strix Group is a global leader in the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control, steam management and water filtration.