Strip Tinning Holdings PLC - Birmingham, England-based provider of connection systems to automotive sector - Shares rise as Strip Tinning provides a reassuring trading update. Says the value of contracted nominations, meaning supply contracts for particular vehicle models, has increased by £11.7 million. As a result, 93% of Strip Tinning’s sales guidance for 2025 and 82% for 2026 is contracted, with an annual value of £8.5 million and £13.4 million respectively. For 2024, Strip Tinning says revenue is expected to be £9.0 million. It is confident of meeting market expectations for 2024 and 2025 adjusted loss before interest, tax, depreciation and amortisation, which it places at £1.9 million and £1.6 million, respectively. In 2023, Strip Tinning recorded £100,000 in positive Ebitda, compared to an Ebitda loss of £2.2 million in 2022.

Executive Chair Adam Robson says: ‘The board remains confident that given the company’s nominations successes and strong sales pipeline, by the end of 2026 the company will now nearly double its sales and will be profitable. In 2027 and onwards the company will be both profitable and cash generative and aims to have increased its sales fourfold by the end of 2028.’

Current stock price: 40.00 pence, up 13% in London on Wednesday

12-month change: down 5.9%

Copyright 2024 Alliance News Ltd. All Rights Reserved.