The Spirax-Sarco Engineering PLC Directors are proposing the payment of a final dividend of 109.5 pence per share, an increase of 12% (2021: 97.5 pence). Subject to approval of the final dividend by shareholders at the Annual General Meeting on Wednesday 10th May 2023, the total Ordinary dividend for the year will be 152.0 pence per share, an increase of 12% over the 136.0 pence per share for the prior year.
Other financial highlights include:
●Revenues up 20% or 14% organically; driven by volume growth and price increases to protect margins
●Statutory operating profit down 1% due to revenue investments, ETS restructure and acquisition costs
●Adjusted operating profit of £380.2 million up 12% or 7% organically
●Adjusted operating profit margin of 23.6%, down 170 bps due to revenue investments
●Steam Specialties organic sales up 12%; Cotopaxi acquisition enhances Digital growth capabilities
●Electric Thermal Solutions organic sales up 14%; strategic acquisitions of Vulcanic and Durex Industries
●Watson-Marlow organic sales up 16%; Biopharm normalising, Process Industries up strongly
●Net debt increased to 1.5x EBITDA on a pro-forma basis, following ETS acquisitions
●Adjusted cash conversion lower at 57% due to record capital investment and inventory rebuilding
●Total dividend up by 12% to 152.0 pence; maintaining 55-year CAGR track record at 11%
