Hargreaves Services plc
("Hargreaves" or the "Group")
Trading Update
Further improvement in trading results from German Joint Venture
Hargreaves Services plc (AIM: HSP), a diversified group delivering services to the industrial and property sectors, announces a further improvement to expected trading results from its German joint venture, Hargreaves Raw Material Services GmbH ("HRMS").
On 20 April 2021, the Board reported that trading in the Group's German joint venture, HRMS, was benefitting from favourable market conditions. Since then, as has been widely reported in the financial press, certain raw material commodity prices have continued to be very strong, fueled in part by demand from global steelmakers. HRMS has continued to take advantage of these conditions such that the Board now expects the contribution from its joint venture to Group profits to exceed current market expectations by a material amount. It is unclear how long these market conditions will endure and as a result, the Board remains cautious with regard to any impact on the financial year ending 31 May 2022.
Chairman, Roger McDowell, commented: "Our German joint venture has always been particularly adept at maximising trading opportunities and continues to do so to our advantage, although it is unclear for how long these very strong market conditions might endure."
For further details:
| Hargreaves Services Gordon Banham, Chief Executive Officer John Samuel, Group Finance Director
| Tel: 0191 373 4485 | |
| Walbrook PR (Financial PR & IR) Paul McManus / Lianne Cawthorne
| Tel: 020 7933 8780 or hargreavesservices@walbrookpr.com Mob: 07980 541 893 / 07584 391 303
| |
| N+1 Singer (Nomad and Joint Corporate Broker) Sandy Fraser/Justin McKeegan/Rachel Hayes
| Tel: 020 7496 3000 | |
| Investec (Joint Corporate Broker) Sara Hale/David Anderson/Shalin Bhamra | Tel: 020 7597 5970
| |
About Hargreaves Services plc
Hargreaves Services plc is a diversified group delivering services to the industrial and property sectors, supporting key industries within the UK and South East Asia. The Company's three business segments are Services, Hargreaves Land and an investment in a German joint venture, Hargreaves Raw Materials Services GmbH (HRMS). Services provides critical support to many core industries including Energy, Environmental, UK Infrastructure and certain manufacturing industries through the provision of materials handling, mechanical and electrical contracting services, logistics and major earthworks. Hargreaves Land is focused on the sustainable development of brownfield sites for both residential and commercial purposes. HRMS trades in specialist commodity markets and owns DK Recycling, a specialist recycler of steel waste material. Hargreaves is headquartered in County Durham and has operational centres across the UK, as well as in Hong Kong and a joint venture in Duisburg, Germany.
More information is available at www.hsgplc.co.uk and follow us on Twitter @hargreaves_plc
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