TIDMTYMN
RNS Number : 1567R
Tyman PLC
04 March 2021
TYMAN PLC
RESULTS FOR THE YEARED 31 DECEMBER 2020
Tyman plc (TYMN.L) announces results for the year ended 31
December 2020.
Summary Group Results
LFL(1)
GBPm unless stated 2020 2019 Change (adj*)
---------------------------------- ------ ------ -------- --------
Revenue 572.8 613.7 -7% -6%
Adjusted operating profit* 80.3 85.4 -6% -6%
Adjusted operating margin* 14.0% 13.9% +10bps
Operating profit 59.7 40.5 47%
Adjusted profit before taxation* 68.4 71.0 -4%
Profit before taxation 47.6 24.8 +92%
Adjusted EPS* 27.2p 27.5p -1%
Basic EPS 19.1p 9.1p +110%
Dividend per share (2) 4.0p 3.9p +4%
Leverage* (3) 1.1x 1.7x -0.6x
Return on capital employed* 12.3% 12.0% + 30bps
---------------------------------- ------ ------ -------- --------
* Alternative performance measures. These "Adjusted" metrics are
before amortisation of acquired intangible assets, impairment of
acquired intangible assets, impairment of goodwill, and exceptional
items. These measures provide additional information to
shareholders on the underlying performance of the business and are
used consistently through the statement. Further details can be
found on page 40.
(1) LFL = constant currency like-for-like (see APMs on page 40)
(2) Final dividend for 2019 of 8.35p was withdrawn due to
COVID-19
(3) Leverage is calculated in accordance with the debt covenant
methodology
Highlights:
-- Strong recovery from COVID-19 in H2 saw growth of 5% against
H2 2019; full year LFL revenue down 6%
-- Cost reductions and benefits of self-help initiatives
mitigated the full year revenue shortfall, resulting in adjusted
operating margin slightly ahead of 2019 and LFL adjusted operating
profit down only 6%
-- Good progress on self-help measures:
-- Encouraging level of North American customer wins
-- Successful execution of planned footprint realignments
-- Momentum gained with continuous improvement activities
-- Strategic initiatives continued to bear fruit, driving market share gains across the Group
-- Reduction in safety incidents of 22% indicative of operational excellence progress
-- Strong cash generation with cash conversion of 131% and
reduction in leverage to 1.1x, achieving low-end of new target
range
-- Repayment in December 2020 of GBP2.3m received under the UK
Government's Job Retention Scheme
-- Modest final dividend declared of 4p per share, reflecting
the strong performance in H2 2020 and the robust balance sheet
position
Jo Hallas, Chief Executive Officer, commented : "2020 was a year
of unprecedented challenges due to COVID-19 and I am incredibly
proud of our people who continue to work tirelessly and show
tremendous commitment in navigating the pandemic to serve our
customers.
" After being significantly impacted in the first half of the
year, the strength of demand recovery through the second half
exceeded our expectations. Our agility in responding to the rebound
in demand demonstrated the robustness of the Tyman business
model.
"We are cautiously optimistic that the momentum seen at the end
of 2020 will continue through the first half of 2021. Beyond this
there remains uncertainty over the ongoing impact of the pandemic
on the macroeconomic environment. However, we are reassured by
long-term structural industry growth drivers remaining favourable,
and Tyman is well positioned to capitalise on a number of emerging
trends as we exit the crisis. Our strategic initiatives continue to
position the business well for future growth, building on our
portfolio of differentiated products, market-leading brands and
deep customer relationships. "
4 March 2021
Enquiries
Tyman plc investor.relations@tymanplc.com
Jo Hallas - Chief Executive Officer
Jason Ashton - Chief Financial Officer
MHP Communications 020 3128 8793
Reg Hoare / Rachel Farrington / Ailsa Prestige tyman@mhpc.com
Analyst and investor presentation
Tyman will host an analyst and investor presentation at 9.30
a.m. today, Thursday 4 March 2021, which will be webcast at:
https://webcasting.brrmedia.co.uk/broadcast/602e9bef1fc46330548faaee
The audio conference call details are:
Number +44 (0) 330 336 9411
Confirmation code 5302055
Notes to editors
Tyman (TYMN: LSE) is a leading international supplier of
engineered fenestration components and access solutions to the
construction industry. The company designs and manufactures
products that enhance the comfort, sustainability, security, safety
and aesthetics of residential homes and commercial buildings.
Tyman's portfolio of leading brands serve their markets through
three divisions: Tyman North America, Tyman UK and Ireland and
Tyman International. Headquartered in London, the Group employs
approximately 4,130 people with facilities in 17 countries
worldwide. Further information is available at www.tymanplc.com
.
Overview of results
Performance in 2020
The Group's performance in 2020 was inevitably impacted by
COVID-19. Revenue for the year was GBP572.8 million (2019: GBP613.7
million), a decrease of 7% on a reported basis, and 6% on a LFL
basis. Reported revenue was impacted by the slight strengthening of
Sterling compared with 2019 and the divestment of the Ventrolla
business in November 2020.
The Group had a solid start to the year before the impact of
COVID-19 took effect, achieving LFL growth of 2% in Q1 in North
America, where the housing market continued to be buoyant in line
with the momentum experienced in Q4 2019. The UK reported LFL sales
growth across January and February of 8% following the decisive
election result in December 2019. The International division had a
more challenging start to the year, with markets continuing to be
weak coming into the year, and China and Italy impacted by COVID-19
earlier than other territories.
From mid-March until early May, trading was progressively
impacted as increasingly stringent lockdowns took effect in our
core markets. We responded accordingly, temporarily closing our
facilities in Italy from the middle of March until the middle of
April and in the UK from late March until early May. Our North
American sites continued to operate throughout the period, apart
from the two facilities in Juarez which were closed for most of
May. However, we experienced a marked reduction in order intake
through April and May. Most of the International division
distribution and sales office sites were closed for various time
periods in accordance with local guidelines.
From the resumption of operations in late April, trading
rebounded strongly. This was driven in part by the pent-up demand
created during lockdown, but underlying market dynamics were also
very strong. Furthermore, in North America the normal peak season
continued later into the year than usual, leading to exceptional
growth of 20% in December for the Group. With the strength of
recovery since initial lockdowns were eased, no government support
was taken after 31 July, and in December the Group repaid the funds
received under the UK government scheme of GBP2.3 million. The
Group was also pleased to be able to repay the salary and benefit
reductions taken by our employees below Board level. This included
repaying government receipts and salary reductions in respect of
Ventrolla business which had been divested in November 2020.
LFL revenue vs 2019 Q1 Q2 Q3 Q4 FY 2020
North America +2% -24% +1% +11% -3%
UK & Ireland -1% -54% +3% Flat -13%
International -17% -27% +9% -1% -9%
Group -2% -29% +3% +7% -6%
===================== ===== ===== ==== ===== ========
In the US, the combination of low mortgage rates, the lack of
inventory for both new and existing homes and the increasing rate
of millennial household formation has driven strong momentum in
both single-family starts and RMI activity through the year. On top
of this, the pandemic has created additional momentum with the
increased time at home and reduced expenditure on travel and
entertainment leading to expenditure on the home being prioritised,
further heightened by a so-called "urban flight" trend as people
seek to move out of cities into suburbs and more rural areas.
Finally, fiscal stimulus is also supportive in many markets, for
example the 'green' schemes and stamp duty holiday in the UK. We
have taken steps to increase production levels and are engaging
closely with customers and suppliers to manage demand, as the rapid
recovery in demand has put pressure on inventory and service levels
industry-wide.
Implementation of COVID-safe working practices, production
continuity and ramp-up measures, and global shipping disruptions
resulted in additional costs being incurred as demand increased
rapidly. The impact of this and the sales shortfall was partially
mitigated by the swift cost management actions taken, as well as
the benefits of self-help initiatives. Consequently, LFL adjusted
operating profit declined 6% to GBP80.3 million. Reported adjusted
operating profit decreased 6%, with the slightly unfavourable
impact of exchange rates offset by a benefit from the disposal of
the loss-making Ventrolla business. Adjusted operating margin
increased from 13.9% to 14.0%, a pleasing result under the
circumstances.
The close management of expenditure generated another year of
strong operating cash conversion of 131% (2019: 132%). Combined
with the savings from the cancellation of dividends, this resulted
in a reduction in leverage to 1.1x adjusted EBITDA (2019: 1.7x),
towards the bottom end of the target range announced in H2
2019.
Health and safety
The health and safety of our people is our top priority. We have
continued to make good progress embedding this focus on safety
within our culture through the 'safety is our first language'
engagement programme. Pleasingly, the lost time incident frequency
rate reduced by 22% to 3.1 incidents per million hours worked
(2019: 4.0). This includes 12 positive COVID-19 cases resulting
from transmission in the workplace. Excluding these COVID-19 cases,
the lost time incident frequency rate was 1.5, a 63% reduction.
Strategic progress
Tyman's strategy of focus, define, grow will strengthen the
Group and further enhance our portfolio of world class brands and
differentiated products to deliver meaningful value to our
stakeholders. The Group's strategy is underpinned by our three
sustainability pillars - sustainable operations, sustainable
culture, and sustainable solutions. Embedding sustainability and
developing our action plan was a key focus during the year, and the
importance of this to the Group and our stakeholders has only been
heightened by COVID-19. A set of targets has been defined to help
us increase our contribution to sustainability and our disclosures
have been expanded as we take steps towards implementing the
recommendations of the Task Force on Climate-Related Financial
Disclosures (TCFD). Further work will be completed during 2021.
Although the primary focus during the year has inevitably been
intensive management of the COVID-19 crisis and the recovery in
demand, good progress has also been made with our strategic
priorities. The Group believes the strategy continues to be the
right one in the context of COVID-19 and that there are
opportunities to accelerate aspects of the strategy as we emerge
from the crisis.
The Focus strategic pillar aims to streamline and strengthen the
base for future growth. Over 2020, this pillar has progressed as
planned. The activities to optimise the Statesville facility have
delivered the improvements targeted for the year, with the benefits
accelerating through the second half. Elsewhere in the Group, the
various initiatives to streamline operations, which included
closure of facilities and several inter-site production line
transfers, have been executed as planned with no customer
disruption. The small Ventrolla business, which was non-core to our
portfolio, was divested in November 2020.
The Define strategic pillar centres on building cultural
cohesion across the Group to facilitate ongoing synergy extraction.
This has continued to gain momentum, with all employee
participation in the development of a shared purpose and set of
values. Work is underway to deploy and embed our new 'One Tyman'
culture and this will continue through 2021. Development of the
'Tyman Excellence System' which seeks to develop and share best
practice has also progressed well, with Safety Excellence now
well-embedded and a groupwide Lean Excellence programme now
defined. Working groups have been established to progress other
areas, including IT Excellence.
The Grow strategic pillar will in the near-term have the most
impact from the divisional organic initiatives underway, including
market share gains as a result of superior customer execution,
accelerating new product launches and expansion of our existing
channels to market. Despite COVID-19 headwinds, we have continued
to progress the various initiatives, with the strengthened North
America sales team delivering net customer wins of c. $4 million
annualised revenue, and cross-divisional teams established to
identify specific opportunities in order to better leverage the
Group's portfolio. There were inevitably some delays to new product
development and launches, but products launched in 2019 are
continuing to gain traction and there is a strong 2021
pipeline.
Mid-term, Tyman continues to be the natural consolidator in a
fragmented market and we would intend to supplement our organic
growth with acquisitions that either bring products and
technologies of future strategic importance, or balance out our
geographic presence across our core markets.
We will present more about our mid-term plans at a Capital
Markets Day, which we are planning to hold in May.
Changes to the Executive Committee
Helen Downer has been appointed to lead the UK & Ireland
division from April 2021, replacing Darren Waters who is leaving to
join Ibstock plc. Helen joined Tyman as the Commercial Director for
the UK & Ireland division in 2019. She has over 20 years of
experience in the building products industry across a range of
functional and general management roles.
Outlook
The strength of the recovery has continued to exceed
expectations, particularly in residential markets, supported by the
positive market trends and low interest rates in core markets. This
momentum has continued into early 2021, with order levels remaining
robust. There is optimism that this will continue through at least
the first half of the year. Beyond this, there remains uncertainty
given the macro-economic impact of the crisis is currently masked
by government support measures, and policy changes by the new US
Administration are as yet unclear.
The recovery of commercial markets has lagged behind
residential, with project planning activity being delayed through
the crisis, reduced investment in retail and leisure infrastructure
and multi-family housing starts falling, in favour of
single-family. This slower recovery is expected to continue in
2021, although there may be benefit from further infrastructure
stimulus.
Pressure on logistics and rising freight costs due to the level
of disruption to global shipping caused by COVID-19 will create a
headwind in 2021. The spike in demand for goods globally has also
begun to impact raw material availability and costs. We are working
closely with suppliers and customers to manage the impact. Pricing
actions are being implemented where necessary to recover cost
inflation.
Longer-term, structural trends are favourable to the Group, with
some new and accelerated trends emerging as a result of the
pandemic. These include increased time spent at home, "urban
flight" driving more premium single-family housing activity, and
accelerated adoption of e-commerce. The Group is well-placed to
capitalise on these opportunities.
Summary
Whilst COVID-19 had a significant impact on the Group in 2020,
the strength of the market recovery through the second half of the
year significantly exceeded our expectations. The crisis has
emphasised the strength of the Tyman business model, with the
diversification across geographies and markets providing
resilience, our innovation capabilities allowing us to quickly
adapt to changing trends, and the cash generative nature of the
business supporting our balance sheet. Despite the impact of
COVID-19, good progress has been made on our self-help measures and
strategic initiatives, including successful execution of footprint
realignments, divestment of Ventrolla, development of our
sustainability roadmap and launch of the 'One Tyman' culture
platform.
In 2021, the focus will be on navigating the challenges and
opportunities as the COVID-19 crisis recedes, implementing further
self-help measures, and driving market share gains through new
product launches and excellent execution. The resilience of our
business model and inherent strengths including market-leading
brands, innovation capabilities and deep customer relationships
continue to position Tyman well for future growth.
Jo Hallas
Chief Executive Officer
Tyman North America
GBP except where stated 2020 2019 Change LFL
--------------------------- ------ ------ ------- ----
Revenue 372.1 386.0 -4% -3%
Adjusted operating profit 64.5 64.5 Flat +1%
Adjusted operating profit
margin 17.3% 16.7% +60bps
--------------------------- ------ ------ ------- ----
LFL revenue growth by quarter vs 2019
Q1 Q2 Q3 Q4
-------------------- ---- ----- ---- -----
LFL revenue growth +2% -24% +1% +11%
==================== ==== ===== ==== =====
Markets
The US residential market had a solid start to the year, with
growth until late March when COVID-19 began to impact demand. Since
mid-May, the market has rebounded strongly . Total housing starts
for the year grew 7%, with single family starts, to which the
division has proportionally higher exposure, increasing 12%. This
has been driven in part by pent-up demand and the "urban flight"
and "nesting" trends as people seek more space or to upgrade
existing spaces due to increased time being spent at home. The US
residential repair and renovation market also recovered well in the
second half, driven by a combination of increased housing
transactions and home values, supported by low interest rates, and
a surge in DIY activity as homeowners prioritised investment in the
home. The NAHB RMI average index for Q4 was significantly higher at
85 (2019: 54).
Commercial construction markets have not seen the same level of
recovery, with non-residential building starts down 24% compared to
2019.
The Canadian construction market began the year with challenges
in western Canada due to a weaker energy sector and concerns on
elevated house prices in Toronto and Vancouver. Q2 was subject to
restrictions in some provinces, resulting in a weak first half, but
once restrictions were eased, the market recovered well, supported
by lower interest rates, government support during the pandemic and
low inventory. Total housing starts increased 4% in the year.
Business performance and developments
The North America division had a strong start to the year, with
LFL growth of 2% in the first quarter, despite the carry-over
effect of the 2019 customer losses associated with the previous
door seal product and footprint-related issues. In April, there was
a marked reduction in demand due to COVID-19 and the facilities in
Juarez, Mexico were closed for most of May, although the business
was able to quickly adapt and move production to other facilities.
The recovery that began in June accelerated through the second half
and momentum continued with new business wins, resulting in LFL
revenue growth for H2 2020 of 5% against H2 2019. This growth was
achieved despite the rapid increase in demand putting pressure on
stock availability and service levels throughout the whole
industry. Production levels in certain facilities were also
impacted by high-levels of COVID-related absenteeism due to
employees self-isolating. Further, there was difficulty in
recruiting due to tight manufacturing labour markets throughout H2.
There was overall price deflation during the year due to a fall in
tariffs and realignment of pricing with certain customers. Full
year LFL revenue for 2020 was just 4% behind 2019. The slight
unfavourable impact of exchange rates resulted in reported revenue
of GBP370.3m, 4% below 2019.
The benefits generated from self-help initiatives, lower
materials costs, as well as the swift action taken to manage
production levels and costs in line with demand outweighed
additional costs incurred as a result of COVID-19. LFL adjusted
operating profit increased 1% and adjusted operating margin
expanded 60bps to 17.3%. Cost management actions included savings
in employee, marketing, travel, and bonus expenses. The additional
costs incurred as a result of COVID-19 included implementing
COVID-secure measures (e.g. enhanced sanitisation), as well as the
cost of temporarily transferring production from Juarez to other
facilities to ensure continuity of supply through the shutdown. In
line with government requirements in Mexico, the division continued
to pay salaries for all employees during the shutdown period. In
addition, the rapid rebound in demand in the second half, effect of
COVID-related absenteeism, and industry-wide shipping pressures
resulted in higher levels of overtime and freight costs. The slight
unfavourable impact of exchange rates resulted in reported adjusted
operating profit of GBP64.5m, flat against 2019.
Despite the disruption caused by COVID-19, the results from the
activities to resolve the operational inefficiencies at the
Statesville facility accelerated through the year. The strengthened
leadership team, continuous improvement activities undertaken and
improved production scheduling methods generated improvements in
yield and quality, in turn delivering gross margin expansion of 110
bps with upward trends across H2. Improvement activities are
ongoing and further benefits will be realised in 2021.
Following the strengthening and realignment of the sales team,
the momentum generated with new business wins in late 2019
continued in 2020, although the pace slowed in the second half as
customers focused on serving their own market demand. The wins were
achieved in part due to the strength of service provided through
the crisis relative to peers. This enabled the division to capture
share, generating net wins of c. $4 million annualised revenue. In
addition, capacity of urethane window seals was expanded through
incremental production as well as partnering with the Tyman
International division. This capacity is being used to support
existing customers and win new business for high - value,
differentiated applications , with incremental revenue of $1
million generated in 2020.
Other self-help initiatives, including footprint realignments
covering $ 20 million of revenue, were successfully executed with
minimal customer disruption. This included the closure of the
Fremont, Nebraska facility, through which c. $3m of low margin,
non-fenestration business was exited. In addition, planned
transfers of manufacturing activities between four facilities were
accelerated due to COVID-19, as the North American "centres of
excellence" were further optimised. These initiatives generated
cost-savings in 2020 of c. $4 million.
Lean excellence initiatives completed in the year are delivering
further cost reductions. The product rationalisation and
repositioning initiative is also progressing as planned, with work
well underway in the sash window hardware and sliding patio door
hardware categories. This initiative will continue in 2021,
eliminating product overlap and thereby allowing manufacturing and
warehousing cost efficiencies, better engineering focus on
innovation, and clearer range positioning to our customers;
combined, these measures should continue to deliver market share
gains.
The division's access solutions business, Bilco, was more
resilient in the period as commercial construction largely
continued through the COVID-19 crisis and our success in winning
long-term, high visibility projects insulated us against softer
overall markets. There was some impact from destocking by
distributors as well as project delays and cancellations, but good
growth in safety accessories and smoke vents was achieved,
resulting in LFL revenue for the year declining just 2%.
New product development
The division continues to bring new products to market, with
recent product launches delivering incremental revenue ahead of
expectations. During 2020, two commercial access products were
introduced, including an enhanced acoustical smoke vent and a new
thermally broken smoke vent, which provide enhanced sound
insulation and improve safety. The Quad Roller product, which
provides easy gliding to address the trend towards larger doors
with greater expanses of glass, was also brought to market, along
with a variety of customer-specific product innovations. The main
focus of development activity in the year was the pawl lock, a next
generation inverted block and tackle balance that is expected to
achieve significant revenue over the coming years as the
intellectual property expires on the prior generation product. The
pawl lock is designed to minimise customer SKUs and reduce space in
the window jamb, enabling customers to add features or remove
material and thereby cost from the window. The division is
partnering with two industry leaders and will launch in early
2021.
Outlook
The momentum seen at the end of 2020 is expected to continue
into Q1 2021, supported by high levels of backlog, providing
cautious optimism. There remains uncertainty beyond this, given the
potential impact on demand from the ongoing COVID-19 crisis and
wider macroeconomic conditions. Single family residential starts
are projected to increase 6% in 2021, supported by the "urban
flight" trend. The strong growth in repair and remodelling spend is
expected to continue in early 2021, with the growth rate tempering
in the second half of the year. The commercial market recovery is
expected to lag behind residential, with non-residential building
starts forecast to increase 3% in 2021. T he Canadian market is
expected to be mixed, with support from low interest rates and
higher household savings tempered by government support measures
coming to an end.
Rising commodity costs, tight labour markets and continued
pressures on global shipping lead times and costs will provide a
headwind in 2021. The division will seek to manage these costs
through pricing actions and productivity initiatives.
The division's main areas of focus in 2021 will continue to be
strengthening operational excellence to expand margin, driving
share gains, and completing the next phase of the product portfolio
harmonisation and repositioning initiative.
Tyman UK and Ireland
GBPm except where stated 2020 2019 Change LFL
--------------------------- ----- ------ -------- -----
Revenue 92.2 107.2 -14% -13%
Adjusted Operating Profit 8.8 13.8 -36% -37%
Adjusted Operating Margin 9.5% 12.9% -340bps
--------------------------- ----- ------ -------- -----
LFL revenue growth by quarter vs 2019
Q1 Q2 Q3 Q4
-------------------- ---- ----- ---- -----
LFL revenue growth +3% -54% +3% Flat
==================== ==== ===== ==== =====
Markets
The UK market for doors and windows started the year positively,
following the decisive election result in December 2019. Over the
first two months of the year, the IHS Markit/CIPS UK Construction
PMI rose to 53 in February 2020 and residential property
transactions were up 4%. The COVID-19 lockdown measures introduced
in late March led to the temporary closure of the majority of
construction sites and prevented all but essential RMI activity. In
early May, construction activity began to resume with
social-distancing measures in place and the market gathered
momentum very quickly through the second half. The PMI recovered to
a level of 55 in December and the number of housing transactions
are at the highest level since 2007. This has been supported by the
UK Government stamp duty holiday as well as the additional time
people are spending at home driving increased RMI activity. The
recovery of the commercial market, to which the division is less
exposed, has lagged behind the residential market. Overall,
COVID-19 has led to a significant contraction in the UK and Ireland
market in 2020 compared to 2019.
Business performance and developments
The UK and Ireland division had a strong start to the year,
achieving LFL revenue growth of 8% to the end of February, with
March also starting strongly. This reflected increased consumer
confidence driving the hardware business, as well as strong project
activity in the Access 360 business. From late March until early
May, all sites were temporarily closed. Activity gradually resumed
from May as lockdown measures were eased. Demand recovered much
quicker than anticipated through the second half, driven by pent-up
demand and the increased RMI activity. LFL sales in H2 2020 were 3%
higher than H2 2019, despite Q4 2019 being a strong comparator due
to the buoyant market and timing of commercial project activity.
Overall, LFL revenue for the year was 13% lower than 2019.
Profitability was impacted by the sales shortfall as well as
additional bad debt charges due to some customers experiencing
financial difficulty, high freight costs due to global shipping
disruption in H2 and continued strategic investments in smartware.
This was partially mitigated by tight cost control measures,
including reductions in discretionary spend and cancellation of the
bonus scheme.
Hardware sales into both the OEM and distribution channels were
strong in the first few months and rebounded strongly once lockdown
restrictions were eased. The division benefitted from exposure to
trade distributors who have a strong online presence, given that
lockdown has accelerated the trend to online sales. Manufacturing
of multi-point locks was transferred from the Far East to the UK in
the period, with inventory benefits and cost-savings now being
realised. Further opportunities to onshore manufacturing or
assembly of certain products are being explored to reduce stock
levels and ensure robustness of the supply chain.
Access 360, the division's commercial access portfolio, achieved
strong revenue growth of 16% in the first two months of the year,
reflecting the stronger projects pipeline and operational
execution. Since construction activity recommenced in early May,
sales have recovered well, although the commercial market has
lagged behind the residential market as a result of reduced
investment. Good progress has been made in better integrating and
optimising the Access 360 business, with work on harmonising
systems and streamlining the footprint underway, and the
operational bottlenecks which arose in Profab in H2 2019 largely
resolved. The business is also gaining traction in the growing
specification market, having strengthened its engagement with
architects and specifiers through enhancements to the website and
social media presence, and increased online training.
The smartware offering continues to gain momentum, with the ERA
Protect(TM) range being listed by a key national distributor in Q3
2020. The ERA website is being upgraded to enable homeowners to
easily select an ERA accredited installer alongside purchasing
their ERA Protect(TM) home security solution via the website. The
ERA Protect(TM) range was the first home security portfolio to
receive the BSI IoT Kitemark. The division has also enhanced its
digital marketing capabilities and is further developing its
digital strategy, to ensure it is well placed to capitalise on the
shift to e-commerce.
In line with the Group's strategy to strengthen the base for
future growth, Ventrolla, the division's sash window renovation and
installation business, was divested on 5 November 2020 for nominal
consideration. This business had been loss-making for a number of
years and was non-core to the portfolio.
New product development
NPD activities were impacted by COVID-19 during the year and
several new product launches were delayed. This includes several
extensions to the ERA Protect(TM) range, including the
WindowSense(TM) product, which will now be launched in early 2021.
This is targeted at the OEM market as a pre-installed product and
therefore expected to create further traction for the rest of the
integrated range, all of which can be controlled through a single
smartphone app. Also due for launch is the new TrueGlide
custom-engineered spiral balance for vertical sliding sash windows,
which provides silent, smooth operation, with only a light touch
required by the user to open and close the window.
Outlook
Since lockdown measures were eased, demand in the residential
RMI and new housing market has rebounded quickly, in part due to
pent-up demand, the "nesting" trend and UK government measures to
increase the stamp-duty threshold driving up housing transactions.
This momentum is expected to continue through Q1, supported by the
continued high level of housing transactions. Beyond this, there
remains significant uncertainty over the impact of COVID-19 on
unemployment, consumer confidence and thereby the housing market as
the stamp duty holiday and other government support measures come
to an end.
In the commercial sector, the value of construction project
awards and new project tender enquiries dropped significantly
during the lockdown, and this is expected to impact activity in
2021. However, this sector may benefit from government stimulus
targeted at infrastructure projects.
Rising material and shipping costs will create a headwind for
2021 and pricing actions are being taken to manage cost inflation.
The division is also closely monitoring port congestion and
amending order patterns to minimise supply chain disruption.
The division's focus in 2021 will continue to be driving
momentum with new product launches, optimising the cost base
through continued integration of the Access 360 business, and
driving online sales through its e-commerce platform.
Tyman International
GBPm except where stated 2020 2019 Change LFL
--------------------------- ------ ------ -------- -----
Revenue 108.5 120.5 -10% -9%
Adjusted operating profit 12.3 14.8 -17% -17%
Adjusted operating margin 11.3% 12.3% -100bps
--------------------------- ------ ------ -------- -----
LFL revenue growth by quarter vs 2019
Q1 Q2 Q3 Q4
-------------------- ----- ----- ---- ----
LFL revenue growth -17% -27% +9% -1%
==================== ===== ===== ==== ====
Markets
The weakness seen in core markets in the second half of 2019
continued into early 2020, with challenging macroeconomic
conditions and core markets impacted by COVID-19 earlier than other
geographies. As of early February, markets were progressively
impacted by COVID-19, with each market being affected at different
times as the virus spread. Construction activity and customer
operations were suspended in most markets for varying time periods
in line with the lockdown measures imposed in each territory. The
division's three largest markets of Italy, Spain, and China were
subject to stringent lockdown measures between February and
April.
Since restriction measures were eased, there has been a strong
recovery in demand in core markets, supported by consumers
prioritising investment in the home and government stimulus in
certain territories. The IHS Markit Eurozone Construction PMI
recovered to 46 in December from its low of 15 in April.
Business performance and developments
LFL revenue for the international division declined 9% in 2020,
with slight foreign exchange headwinds resulting in reported
revenue down 10%. The business had a challenging start to the year
due to the weak market conditions and was significantly impacted by
COVID-19. The division's third largest market, China, was impacted
in early February, followed by most other core markets from
mid-March. Since lockdown measures have been eased in each
territory, momentum in sales and order levels has built steadily.
The division's largest market, Italy was particularly impacted by
COVID-19 and although there has a been a strong recovery through
the second half, it ended the year 20% below 2019. Other major
European markets were similarly affected. China and Australia,
where the pandemic was contained more quickly achieved growth, with
government stimulus in China driving strong project activity. The
move to a new distribution site in China impacted timing of sales
between Q3 and Q4, with customers bringing forward purchases into
September ahead of the planned closure in October.
A reduction in overheads, including savings from the reduction
in personnel costs which took effect in the second half of 2019,
combined with additional cost management actions taken and
utilisation of available government schemes partially offset the
impact of the sales shortfall on adjusted operating profit. LFL
adjusted operating profit was 17% below 2019 and adjusted operating
margin fell from 12.3% to 11.3%.
Despite some inevitable delays caused by COVID-19, the division
has made good progress on its strategic initiatives. Momentum
continued with the 'all in one' strategy, with the launch of a new
fully-integrated SchlegelGiesse website that brings together all of
the division's brands and products and supports driving further
penetration of the portfolio including showcasing new products.
During the lockdown period, webinars and virtual innovation
workshops were delivered to distributors and window makers to
maintain relationships and further progress the channel expansion
strategic initiative. This enabled strong partnership activity with
System Houses, with many agreements reached to develop systems
based on the innovative 'Pull and Slide' system.
Self-help initiatives were completed as planned. The
restructuring programme to streamline operations in Australia,
China, Singapore and New Zealand has been fully executed with no
customer disruption. Manufacturing ceased and the business
transitioned to a distribution model in both Australia and China,
and direct sales operations in Singapore and New Zealand were
exited. These restructuring activities have resulted in a reduced
fixed cost-base, the avoidance of significant future capital
expenditure and will allow management bandwidth across the region
to be better focused.
The integration of Reguitti, which was acquired in August 2018,
has progressed, albeit at a slower rate than planned due to
lockdown measures. Reguitti's performance was particularly impacted
by COVID-19 due to its location in northern Italy. The full
functional integration has been completed, and cross-selling
activities have gained traction following integration of the sales
force. A new mid-price point brand for the German market has been
launched to better align the product offer with current market
trends.
New product development
The division continues to focus on innovation, although there
have been delays to the launch of certain products due to COVID-19.
New products launched in the year included the CHIC concealed door
hinge range, which completes the minimal frame profile range for
aluminium doors and windows, providing a coordinated modern
aesthetic and brighter interiors, as a result of the higher glass
to frame ratio. The hinge also allows easy installation, has a high
load capacity and is reversible for left or right opening. The
value-engineered range of bespoke products for the Chinese RMI
market is also due for launch in early 2021, which supports the
division's focus on this growing channel and will ensure it is
well-placed to capture share as this market recovers. In addition,
the Schlegel seal range achieved sustainability accreditation via
the Cradle to Cradle(TM) certification in H2 2020, with other
product lines expected to achieve this in 2021. The division
continues to invest in developing and expanding its range of
innovative products as a key driver of future growth.
Outlook
The recovery seen through the second half is expected to
continue at least through the first quarter of 2021, driven by
continued high levels of building and remodelling activity in core
markets as well as market share gain initiatives. There remains
uncertainty beyond the first quarter due to the ongoing
macroeconomic impact of COVID-19 as government support measures
come to an end and the risk of further lockdown restrictions in
various territories.
The main priorities of the International division in 2021 are to
drive share gains in core markets through new product launches and
continued channel expansion; and to deliver further self-help
initiatives to create a stronger foundation for growth.
Financial review
Income statement
Revenue and profit
Reported revenue for the year decreased by 6.7% to GBP572.8
million (2019: GBP613.7 million), primarily reflecting a volume
reduction due to the impact of COVID-19, the drag through effect of
the 2019 North America footprint consolidation related customer
losses of c. GBP8.0 million, a reduction in US tariffs of GBP2.9
million, adverse foreign exchange movements of GBP3.4 million, and
the disposal of Ventrolla of GBP0.9 million, offset by an
encouraging level of customer wins. On a LFL basis, revenue
declined 6.0% compared to the prior year.
Adjusted administrative expenses decreased to GBP111.8 million
(2019: GBP120.2 million), largely due to the benefit of
cost-management initiatives taken to mitigate the impact of
COVID-19, which included the curtailment of discretionary
expenditure and cancellation of the senior management bonus scheme,
and the receipt of government support from various territories
outside the UK of GBP1.7 million. The unfavourable impact of
foreign exchange was GBP1.3 million.
Adjusted operating profit decreased by 6.0% to GBP80.3 million
(2019: GBP85.4 million). This was negatively impacted by the
reduction in volume driven by COVID-19 and by c. GBP3.0 million
from the drag through effect of the 2019 North America footprint
consolidation customer losses, and adverse foreign exchange
movements of GBP0.7 million. This was offset by a reduction in
input costs of GBP2.3 million due to moderation of materials
prices, net cost savings of c. GBP5 million, and productivity
improvements of c. GBP6 million. On a LFL basis, adjusted operating
profit declined 5.5%. The Group's adjusted operating margin
increased by 10bps to 14.0% (2019: 13.9%).
Adjusted profit before taxation decreased by 3.7% to GBP68.4
million (2019: GBP71.0 million) and declined 3.4% on a LFL basis,
benefiting from lower finance costs due to the reduction in net
debt and the interest rate. Reported profit before taxation
increased by 91.9% to GBP47.6 million (2019: GBP24.8 million),
largely as a result of a decrease in exceptional items from GBP18.9
million to GBP1.8 million.
Materials and input costs
FY 2020
GBPm except where stated Materials(1) Average(2) Spot(3)
---------------------------- ------------- ---------- -------
Aluminium (Euro) 14.8 -6% +1%
Polypropylene (Euro) 30.9 -21% -16%
Stainless steel (US) 54.8 +1% -20%
Zinc (US) 27.5 -11% +6%
Far East components (UK)(4) 37.4 -4% +8%
---------------------------- ------------- ---------- -------
(1) FY 2020 materials cost of sales for raw materials,
components and hardware for overall category
(2) Average 2020 tracker price compared with average 2019 tracker price
(3) Spot tracker price as at 31 December 2020 compared with spot
tracker price at 31 December 2019
(4) Pricing on a representative basket of components sourced
from the Far East by Tyman UK & Ireland
Raw material costs moderated in 2020, with average prices across
all commodity categories excluding stainless steel lower than 2019.
Costs across most categories began to rise towards the end of the
year, with the spot prices for all categories except polypropylene
and stainless steel being higher than December 2019. Steel
purchases in North America continue to be impacted by the direct
and indirect effect of US tariffs. Surcharges are in place to
recover these costs.
Exceptional items
Certain items that are material and non-trading in nature have
been drawn out as exceptional such that the effect of these items
on the Group's results can be better understood and to enable a
clearer analysis of trends in the Group's underlying
performance.
GBPm 2020 2019
---------------------------------- ----- ------
Footprint restructuring - costs - (7.1)
Footprint restructuring - credits 0.2 0.6
---------------------------------- ----- ------
Footprint restructuring - net 0.2 (6.5)
---------------------------------- ----- ------
M&A and integration - costs (0.8) (5.3)
M&A and integration - credits 0.6 -
---------------------------------- ----- ------
M&A and integration - net (0.2) (5.3)
Loss on disposal of business (1.8) (1.7)
Impairment charges - (5.4)
(1.8) (18.9)
---------------------------------- ----- ------
Footprint restructuring
The footprint restructuring costs in prior periods related to
directly attributable costs incurred in the multi-year North
American footprint consolidation project, as well as provisions for
costs associated with the closure of the Fremont, Nebraska facility
and streamlining the international satellite operations which
commenced in 2019. These projects were completed in 2020, with the
small credit arising due to the actual costs being slightly less
than estimated.
M&A and integration
M&A and integration costs of GBP0.8 million relate to costs
associated with the integration of businesses acquired in 2018,
predominantly Ashland. M&A and integration credits of GBP0.6
million relate to the release of an excess warranty provision made
on a previous acquisition.
Loss on disposal of business
This charge relates to a loss on the disposal of the Ventrolla
business, which was divested on 5 November 2020 for nominal
consideration.
Impairment charges
Impairment charges in 2019 relate to the write down of assets
and inventory associated with the slower than expected uptake of
the door seal product in North America.
Finance costs
Net finance costs decreased to GBP12.1 million (2019: GBP15.7
million).
Interest payable on bank loans, private placement notes and
overdrafts decreased to GBP8.9 million (2019: GBP11.1 million),
predominantly reflecting the reduction in borrowings, as well as
lower interest rates following reductions in the US federal
interest rate and UK official bank rate. Interest on lease
liabilities of GBP2.8 million reduced slightly, reflecting the
reduction in lease liabilities (2019: GBP3.0 million).
The Group's average cost of funds and margin payable over the
year decreased by 50 bps to 3.4% (2019: 3.9%) reflecting lower
interest rates and a reduction in the US dollar denominated
borrowings which carry a higher rate of interest.
Non-cash movements charged to net finance costs in the period
include amortisation of capitalised borrowing costs of GBP0.5
million (2019: GBP0.5 million) and pension interest cost of GBP0.2
million (2019: GBP0.3 million).
Interest rate swap contracts
Until June 2020, the Group fixed a portion of floating rate
borrowings under the RCF agreement via interest rate swap
contracts. Due to the current low prevailing interest rates, these
swaps were not replaced on expiry.
The Group has issued US$100 million in aggregate under its US
Private Placement programme, all of which is held at fixed rates.
In total, 43.0% (2019: 46.0%) of the Group's adjusted debt
excluding lease liabilities is held at fixed rates of interest.
Forward exchange contracts
At 31 December 2020, the Group's portfolio of forward exchange
contracts at fair value amounted to a net liability of GBP0.2
million (2019: net liability of GBP0.5 million). The notional value
of the portfolio amounted to GBP23.7 million (2019: GBP34.1
million), comprising US dollar and Chinese renminbi forward
exchange contracts with notional values of US$23 million and RMB60
million respectively (2019: US$39 million and RMB45 million). These
contracts have a range of maturities up to 19 March 2021.
During the year, a fair value gain of GBP0.3 million (2019: fair
value loss of GBP0.8 million) was recognised directly in the income
statement.
Taxation
The Group reported an income tax charge of GBP10.4 million
(2019: GBP7.1 million), comprising a current tax charge of GBP14.1
million (2019: GBP13.4 million) and a deferred tax credit of GBP3.7
million (2019: GBP6.3 million). The increase in the income tax
charge reflects the increase in profit before tax.
The adjusted tax charge was GBP15.3 million (2019: GBP17.5
million) representing an effective adjusted tax rate of 22.4%
(2019: 24.6%). The reduction in the adjusted effective tax rate of
230bps reflects the release of an excess provision and utilisation
of available tax credits.
During the period, the Group paid corporation tax of GBP13.8
million (2019: GBP14.2 million). This reflects a cash tax rate on
adjusted profit before tax of 20.2% (2019: 20.0%).
Earnings per share
Basic earnings per share increased by 109.9% to 19.1 pence
(2019: 9.1 pence). Adjusted earnings per share decreased slightly
to 27.2 pence (2019: 27.5 pence) as a result of the slight
reduction in adjusted profit after tax. There is no material
difference between these calculations and the fully diluted
earnings per share calculations.
Cash generation, funding and liquidity
Cash and cash conversion
GBPm 2020 2019
------------------------------------------------- ------ ------
Net cash generated from operations 95.9 97.1
Add: Pension contributions 1.7 1.0
Add: Income tax paid 13.8 14.2
Less: Purchases of property, plant and equipment (9.9) (10.7)
Less: Purchases of intangible assets (0.6) (0.8)
Add: Proceeds on disposal of PPE - 0.8
------------------------------------------------- ------ ------
Operational cash flow after exceptional cash
costs 100.9 101.6
Exceptional cash costs 4.2 11.3
------------------------------------------------- ------ ------
Operational cash flow 105.1 112.9
Less: Pension contributions (1.7) (1.0)
Less: Income tax paid (13.8) (14.2)
Less: Net interest paid (12.5) (15.0)
Less: Exceptional cash costs (4.2) (11.3)
------------------------------------------------- ------ ------
Free cash flow 72.9 71.4
------------------------------------------------- ------ ------
Operational cash flow in the period decreased by 6.9% to
GBP105.1 million, predominantly due to a lower working capital
inflow following the focus on optimisation in 2019. This is after
adding back GBP4.2 million (2019: GBP11.3 million) of exceptional
costs cash settled in the period, which primarily related to costs
associated with the footprint realignments provided for in 2019 and
costs associated with the integration of Ashland. Operating cash
conversion in 2020 continued to be very strong at 130.9% (2019:
132.2%).
Free cash flow in the period was slightly higher than 2019 at
GBP72.9 million (2019: GBP71.4 million), with the lower operational
cash flow being offset by the significant reduction in exceptional
cash flows and reduction in interest payments due to lower net
debt.
Debt facilities
Bank and US private placement facilities available to the Group,
as at 31 December 2020, were as follows:
Facility Maturity Currency Committed Uncommitted
----------------- --------- -------------- --------- -----------
2018 Facility Feb 2024 Multicurrency GBP240.0m GBP70.0m
4.97 % USPP Nov 2021 US$ US$55.0m -
5.37 % USPP Nov 2024 US$ US$45.0m -
Other facilities Various EUR EUR0.3m -
----------------- --------- -------------- --------- -----------
The Group received eligibility in June 2020 to draw up to GBP100
million through the Bank of England CCFF, albeit the Group has not
made use of this and the Bank of England has announced this
facility will be closed after 22 March 2021 and therefore this is
no longer available for use.
Liquidity
At 31 December 2020 the Group had gross outstanding borrowings
of GBP224.1 million (2019: GBP273.5 million), cash balances of
GBP69.7 million (2019: GBP49.0 million) and committed but undrawn
facilities of GBP143.1 million (2019: GBP102.8 million) as well as
potential access to the uncommitted GBP70.0 million accordion
facility. US$55.0 million of the USPP debt is due for repayment in
November 2021 and is therefore classified as current. There is
sufficient cash and committed but undrawn amounts under the 2018
revolving credit facility to repay this.
Net debt at 31 December 2020 was GBP154.5 million (2019:
GBP224.5 million). Adjusted net debt, which excludes lease
liabilities and unamortised finance arrangement fees was GBP100.6
million (2019: GBP164.5 million), with the reduction reflecting the
strong operational cash generation and that dividends were not paid
during the year.
Covenant performance
Performance
At 31 December 2020 Test (1) Headroom (1) Headroom (2)
-------------------- ------------ ----------- ------------ ------------
Leverage < 3.5× 1.1x 60.1m 63.1%
Interest Cover > 4.0× 10.5x 57.9m 62.1%
-------------------- ------------ ----------- ------------ ------------
(1) Calculated covenant performance consistent with the Group's
banking covenant test (banking covenants set on a frozen GAAP basis
and not impacted by IFRS 16)
(2) The approximate amount by which adjusted EBITDA would need
to decline before the relevant covenant is breached
At 31 December 2020, the Group retained significant headroom on
its banking covenants. Leverage at the year end improved
significantly to 1.1x (2019: 1.7x), reflecting the lower level of
net debt. Interest cover increased to 10.5x (2019: 9.0x), largely
reflecting the lower interest expense.
In July 2020, in order to provide additional headroom during the
period of uncertainty, the Group agreed a temporary relaxation of
the leverage covenant with its lenders from 3.0x adjusted EBITDA to
3.5x at December 2020 and 4.0x at 30 June 2021.
Balance sheet - assets and liabilities
Working capital
GBPm FY 2019 Mvt FX 2020
---------------------- ------- ----- ----- ------
Inventories 88.6 (3.3) (1.3) 84.0
Trade receivables 60.5 3.0 (0.4) 63.1
Trade payables (46.6) (8.8) 0.3 (55.1)
---------------------- ------- ----- ----- ------
Trade working capital 102.5 (9.1) (1.4) 92.0
---------------------- ------- ----- ----- ------
Trade working capital at the year end, net of provisions, was
GBP92.0 million (2019: GBP102.5 million).
Inventories decreased by GBP4.6 million to GBP84.0 million
(2019: GBP88.6 million), driven by the significant increase in
demand in the second half of 2020 following a period of reduced
production due to COVID-19. The provision for slow moving and
obsolete inventory is slightly lower at GBP18.9 million (2019:
GBP19.9 million).
Trade receivables increased by GBP2.6 million to GBP63.1 million
(2019: GBP60.5 million) due to higher sales toward the end of 2020
compared to the end of 2019. Trade payables increased by GBP8.5
million to GBP55.1 million (2019: GBP46.6 million) reflecting
higher purchases towards the end of the year in line with increased
activity levels.
Of the decrease in trade working capital, GBP1.4 million related
to exchange.
Capital expenditure
Gross capital expenditure decreased to GBP10.5 million (2019:
GBP11.5 million) or 0.74x depreciation (excluding RoU asset
depreciation) (2019: 0.79x), as a result of tight management of
capital expenditure early in the year due to COVID-19. Net capital
expenditure was GBP10.5 million (2019: GBP10.7 million). Included
within 2019 net capital expenditure was GBP0.8 million of proceeds
from disposal of property, plant and equipment.
Goodwill and intangible assets
At 31 December 2020, the carrying value of goodwill and
intangible assets was GBP446.0 million (2019: GBP475.3 million).
The reduction in goodwill and intangible assets reflects
amortisation of intangible assets through the income statement of
GBP20.3 million (2019: GBP25.0 million), offset by exchange
movements of GBP9.6 million due to the impact of the strengthening
of Sterling on the translation of the underlying US dollar
denominated carrying values into the Group's functional currency at
the year end.
Provisions
Provisions at 31 December 2020 reduced to GBP8.9 million (2019:
GBP9.6 million), primarily reflecting settlement of provisions
related to the footprint realignments and the release of an excess
warranty provision made on a previous acquisition, which is no
longer needed.
Balance sheet - equity
Shares in issue
At 31 December 2020, the total number of shares in issue was
196.8 million (2019: 196.8 million) of which 0.5 million shares
were held in treasury (2019: 0.5 million).
Employee Benefit Trust purchases
At 31 December 2020, the EBT held 1.1 million shares (2019: 1.4
million). During the period, the EBT purchased 0.1 million shares
in Tyman plc at a total cost of GBP0.3 million.
Dividends
As a result of uncertainty surrounding the COVID-19 pandemic,
the Board took the decision to cancel the 2019 final dividend of
8.35 pence per ordinary share that was proposed with the 2019
results announcement on 5 March 2020. Furthermore, no interim
dividend was declared in 2020.
As a result of the strong performance in the second half of 2020
and the robust balance sheet position, the Board considers it
appropriate to declare a modest final dividend for 2020. A final
dividend of 4.0 pence per share (2019: nil pence), equivalent to
GBP7.8 million based on the shares in issue as at 31 December 2020,
will be proposed at the Annual General Meeting (2019: GBPnil). The
total dividend declared for the 2020 financial year is therefore
4.0 pence per share (2019: 3.9 pence), an increase of 2.6%. This
equates to a Dividend Cover of 6.8x. The Board intends to return to
a progressive dividend policy when conditions allow.
The ex-dividend date will be 4 April 2021 and the final dividend
will be paid on 28 May 2021 to shareholders on the register at 23
April 2021.
Only dividends paid in the year have been charged against equity
in the 2020 financial statements. No dividend payments were made to
shareholders during 2020 (2019: GBP23.6 million).
Other financial matters
Return on capital employed
ROCE increased by 30 bps to 12.3% (2019: 12.0%) due to a
significant reduction in average working capital resulting from the
lack of seasonal build due to COVID-19, lower capital expenditure,
as well as a lower carrying value of intangible assets through
amortisation.
Returns on Acquisition Investment
Original
Acquisition Acquisition ROAI
Date Investment 2020 (1)
------------- ------------ ------------ ---------
Ashland March 2018 US$102.4m 17.9%
Zoo Hardware May 2018 GBP18.7m 18.6%
Profab July 2018 GBP4.1m 8.8%
Reguitti August 2018 EUR16.2m 5.2%
------------- ------------ ------------ ---------
(1) See Alternative performance measures on page 40.
Ashland and Zoo Hardware have continued to perform well, with
both exceeding the 14% minimum target return threshold after two
years of ownership, in March 2020 and May 2020 respectively.
Ashland achieved the planned GBP5 million of annualised synergy
benefits in 2020.
Profab reached two years of ownership in August 2020, achieving
an LTM run rate ROAI of 9%, which is significantly below the target
threshold. The business suffered from operational bottlenecks in
the second half of 2019, impacting productivity and was
significantly impacted in H1 2020 by COVID-19 lockdown measures.
Productivity has improved markedly, and sales rebounded well in the
second half.
Reguitti reached two years of ownership in August 2020,
achieving an LTM run rate ROAI of 5%, which is below the target
threshold. Performance was significantly impacted by COVID-19,
given its location in Northern Italy. The full functional
integration been completed, and cross-selling activities have
gained traction following integration of the sales force.
Currency
Currency in the consolidated income statement
The principal foreign currencies that impact the Group's results
are the US dollar, the Euro, the Australian dollar and the Canadian
dollar. In 2020, the Sterling was stronger against the US dollar,
Australian dollar and Canadian dollar, and weaker against the Euro
when compared with the average exchange rates in 2019.
Translational exposure
Currency US$ Euro AUS$ CA$ Other Total
---------------------- ----- ------ ----- ----- ----- -----
% mvt in average rate 0.5% (1.4%) 1.4% 1.5%
GBPm Revenue impact (1.9) 0.9 (0.1) (0.1) (3.0) (4.2)
GBPm Profit impact
(1) (0.4) 0.1 - - (0.5) (0.9)
1c decrease impact
(2) 467k 68k 6k 5k
---------------------- ----- ------ ----- ----- ----- -----
(1) Adjusted Operating Profit impact
(2) Defined as the approximate favourable translation impact of
a 1c decrease in the Sterling exchange rate of the respective
currency on the Group's Adjusted Operating Profit
The net effect of currency translation caused revenue and
adjusted operating profit from ongoing operations to decrease by
GBP4.2 million and GBP0.9 million respectively compared with
2019.
Transactional exposure
Divisions that purchase or sell products in currencies other
than their functional currency will potentially incur transactional
exposures. For purchases by the UK and Ireland division from the
Far East, these exposures are principally Sterling/US dollar or
Chinese renminbi. For purchases by the International division's
Australian business from the US and the Far East, these exposures
are principally Australian dollar/US dollar or Chinese
renminbi.
The Group's policy is to recover adverse transactional currency
movements through price increases or surcharges. Divisions
typically buy currency forward to cover expected future purchases
for up to around six months. The objective is to achieve an element
of certainty in the cost of landed goods and to allow sufficient
time for any necessary price changes to be implemented.
Foreign exchange hedges against the US dollar and renminbi held
by the UK and Ireland division resulted in a gain of GBP0.3 million
in 2020 compared to a loss of GBP0.8 million in 2019. The Group's
other transactional exposures generally benefit from the existence
of natural hedges and are immaterial.
Currency in the consolidated balance sheet
The Group aims to mitigate the translational impact of exchange
rate movements by denominating a proportion of total borrowings in
those currencies where there is a material contribution to Adjusted
Operating Profit. Tyman's banking facility allows for funds to be
drawn in those currencies.
The Group's gross borrowings (excluding leases) are denominated
in the following currencies:
2020 2019
----------------- ------------- -------------
GBP'm Gross % Gross %
----------------- ------- ---- ------- ----
US dollars (108.2) 63.5 (146.7) 68.7
Euros (62.1) 36.5 (66.8) 31.3
----------------- ------- ---- ------- ----
Gross borrowings (170.3) (213.5)
----------------- ------- ---- ------- ----
2021 summary guidance
The market outlook is cautiously optimistic, with momentum seen
at the end of 2020 expected to continue into the first half of
2021. There is however uncertainty beyond this as the full
macroeconomic effect of COVID-19 is being masked to an extent by
government stimulus. There may also be ongoing disruption due to
further lockdowns or COVID-19 outbreaks as the vaccine roll-outs
progress across territories.
Reported revenue and operating profit will be negatively
impacted by a weakening US dollar due to the translation effect on
the results of the US business.
The Group expects operating margin expansion due to increased
volumes and the benefits of self-help activities, although
headwinds are expected due to rising raw material and freight
costs. The Group will continue to take pricing actions as necessary
to recover input cost inflation.
Total working capital trough to peak for the year is expected to
be c. GBP25-GBP30 million with the working capital peak occurring
around the half year, due to the need to rebuild depleted inventory
levels ahead of the peak selling period. The majority of this will
unwind in the second half, with a moderate outflow across the full
year.
Capital expenditure for the 2021 financial year is expected to
be GBP22 - GBP27 million, reflecting catch up of expenditure
deferred from 2020 and investment in new product development,
operational excellence, and systems upgrades.
Operating cash conversion is expected to be c.75% - 85%,
reflecting the investment in working capital, capital expenditure
and reinstatement of discretionary expenditure necessary. This
follows two years of well above average operating cash conversion.
The Group's long term target remains at 90% per annum.
Leverage is expected to remain within the target range of 1.0×
to 1.5× adjusted EBITDA.
The adjusted effective tax rate is expected to be c. 23.0% -
25.0%.
Jason Ashton
Chief Financial Officer
Consolidated income statement
For the year ended 31 December 2020
2020 2019
Note GBP'm GBP'm
------------------------------------- ----- -------- --------
Revenue 3 572.8 613.7
Cost of sales 3 (380.7) (408.1)
------------------------------------- ----- -------- --------
Gross profit 192.1 205.6
Administrative expenses (132.4) (165.1)
------------------------------------- ----- -------- --------
Operating profit 59.7 40.5
Analysed as:
Adjusted(1) operating profit 3 80.3 85.4
Exceptional items 4 (1.8) (18.9)
Amortisation of acquired intangible
assets 7 (18.8) (23.5)
Impairment of acquired intangible
assets 7 - (2.5)
------------------------------------- ----- -------- --------
Operating profit 59.7 40.5
Finance income 0.3 -
Finance costs (12.4) (15.7)
------------------------------------- ----- -------- --------
Net finance costs (12.1) (15.7)
------------------------------------- ----- -------- --------
Profit before taxation 3 47.6 24.8
Income tax charge 5 (10.4) (7.1)
Profit for the year 37.2 17.7
------------------------------------- ----- -------- --------
Basic earnings per share 6 19.07p 9.08p
Diluted earnings per share 6 19.00p 9.05p
------------------------------------- ----- -------- --------
Non-GAAP alternative performance measures(1)
Adjusted(1) operating profit 80.3 85.4
------------------------------------- ----- -------- --------
Adjusted(1) profit before taxation 6 68.4 71.0
------------------------------------- ----- -------- --------
Basic Adjusted earnings per share 6 27.22p 27.46p
------------------------------------- ----- --------
Diluted Adjusted earnings per share 6 27.12p 27.35p
------------------------------------- ----- -------- --------
1 Before amortisation of acquired intangible assets, deferred
taxation on amortisation of acquired intangible assets, impairment
of goodwill, exceptional items, unwinding of discount on
provisions, gains and losses on the fair value of derivative
financial instruments, amortisation of borrowing costs and the
associated tax effect. See Alternative Performance Measures on page
40.
Consolidated statement of comprehensive income
For the year ended 31 December 2020
2020 2019
GBP'm GBP'm
--------------------------------------------- ------- -------
Profit for the year 37.2 17.7
---------------------------------------------- ------- -------
Other comprehensive income/(expense)
Items that will not be reclassified to
profit or loss
Remeasurements of post-employment benefit
obligations 1.4 (1.0)
Total items that will not be reclassified
to profit or loss 1.4 (1.0)
---------------------------------------------- ------- -------
Items that may be reclassified subsequently
to profit or loss
Exchange differences on translation of
foreign operations (12.7) (11.9)
Effective portion of changes in value of
cash flow hedges 0.3 -
Total items that may be reclassified to
profit or loss (12.4) (11.9)
---------------------------------------------- ------- -------
Other comprehensive income/(expense) for
the year, net of tax (11.0) (12.9)
---------------------------------------------- ------- -------
Total comprehensive income for the year 26.2 4.8
---------------------------------------------- ------- -------
Items in the statement above are disclosed net of tax. The
income tax relating to each component of other comprehensive income
is disclosed in note 5.
Consolidated statement of changes in equity
For the year ended 31 December 2020
Share Share Treasury Hedging Translation Retained Total
capital premium reserve reserve reserve earnings equity
GBP'm GBP'm GBP'm GBP'm GBP'm GBP'm GBP'm
-------------------------------------- --------- --------- --------- --------- ------------ ---------- --------
At 1 January 2019 9.8 132.2 (4.9) (0.3) 71.4 225.6 433.8
Change in accounting
policy(1) - - - - - 2.4 2.4
--------- --------- --------- --------- ------------ ----------
Total comprehensive (expense)/
income - - - - (11.9) 16.7 4.8
--------
Profit for the year - - - - - 17.7 17.7
Other comprehensive (expense) - - - - (11.9) (1.0) (12.9)
-------------------------------------- --------- --------- --------- --------- ------------ ---------- --------
Transactions with owners - (132.2) 0.6 - - 106.9 (24.7)
Share-based payments(2) - - - - - 0.9 0.9
Dividends paid - - - - - (23.6) (23.6)
Capital reduction - (132.2) - - - 132.2 -
Issue of own shares from
Employee Benefit Trust - - 2.6 - - (2.6) -
Purchase of own shares
for Employee Benefit
Trust - - (2.0) - - - (2.0)
At 31 December 2019 9.8 - (4.3) (0.3) 59.5 351.6 416.3
Total comprehensive income/(expense) - - - 0.3 (12.7) 38.6 26.2
Profit for the year - - - - - 37.2 37.2
Other comprehensive income/(expense) - - - 0.3 (12.7) 1.4 (11.0)
-------------------------------------- --------- --------- --------- --------- ------------ ---------- --------
Transactions with owners - - 0.9 - - (0.3) 0.6
Share-based payments(2) - - - - - 0.9 0.9
Issue of own shares from
Employee Benefit Trust - - 1.2 - - (1.2) -
Purchase of own shares
for Employee Benefit
Trust - - (0.3) - - - (0.3)
-------------------------------------- --------- --------- --------- --------- ------------ ---------- --------
At 31 December 2020 9.8 - (3.4) - 46.8 389.9 443.1
-------------------------------------- --------- --------- --------- --------- ------------ ---------- --------
1 The change in accounting policy at 1 January 2019 relates to adoption of IFRS 16 'Leases'.
2 Share-based payments include a tax credit of GBP0.2 million
(2019: tax credit of GBP0.1 million) and a release of the deferred
share-based payment bonus accrual of GBP0.6 million (2019: GBP0.4
million).
Consolidated balance sheet
As at 31 December 2020
2020 2019
Note GBP'm GBP'm
---------------------------------------- ----- -------- --------
TOTAL ASSETS
Non-current assets
Goodwill 7 361.9 371.3
Intangible assets 7 84.1 104.0
Property, plant and equipment 60.7 65.8
Right of use assets 8 51.8 59.4
Financial assets at fair value through
profit or loss 1.1 1.1
Deferred tax assets 16.3 17.2
---------------------------------------- ----- -------- --------
575.9 618.8
Current assets
Inventories 84.0 88.6
Trade and other receivables 72.8 76.3
Cash and cash equivalents 69.7 49.0
---------------------------------------- ----- -------- --------
226.5 213.9
---------------------------------------- ----- -------- --------
TOTAL ASSETS 802.4 832.7
---------------------------------------- ----- -------- --------
LIABILITIES
Current liabilities
Trade and other payables (84.4) (84.9)
Derivative financial instruments (0.2) (0.7)
Borrowings 9 (40.3) (0.3)
Lease liabilities 8 (5.4) (6.0)
Current tax liabilities (6.8) (6.5)
Provisions (1.3) (2.5)
---------------------------------------- ----- -------- --------
(138.4) (100.9)
Non-current liabilities
Borrowings 9 (128.8) (211.5)
Lease liabilities 8 (48.4) (54.0)
Deferred tax liabilities (26.8) (31.3)
Retirement benefit obligations (8.9) (11.2)
Provisions (7.6) (7.1)
Other payables (0.4) (0.4)
---------------------------------------- ----- -------- --------
(220.9) (315.5)
TOTAL LIABILITIES (359.3) (416.4)
---------------------------------------- ----- -------- --------
NET ASSETS 443.1 416.3
---------------------------------------- ----- -------- --------
EQUITY
Capital and reserves attributable to owners of the Company
Share capital 9.8 9.8
Treasury reserve (3.4) (4.3)
Hedging reserve - (0.3)
Translation reserve 46.8 59.5
Retained earnings 389.9 351.6
TOTAL EQUITY 443.1 416.3
---------------------------------------- ----- -------- --------
Consolidated cash flow statement
For the year ended 31 December 2020
2020 2019
Note GBP'm GBP'm
--------------------------------------------- ----- -------- -------
Cash flow from operating activities
Profit before taxation 3 47.6 24.8
Adjustments 11 55.9 71.9
Changes in working capital(1) :
Inventories 3.3 13.7
Trade and other receivables 1.7 7.7
Trade and other payables 3.3 0.7
Provisions utilised (0.4) (6.5)
Pension contributions (1.7) (1.0)
Income tax paid (13.8) (14.2)
Net cash generated from operations 95.9 97.1
---------------------------------------------------- -------- -------
Cash flow from investing activities
Purchases of property, plant and equipment (9.9) (10.7)
Purchases of intangible assets 7 (0.6) (0.8)
Proceeds on disposal of property, plant
and equipment - 0.8
Acquisitions of subsidiary undertakings,
net of cash acquired 10 (1.5) (0.9)
Net cash used in investing activities (12.0) (11.6)
---------------------------------------------------- -------- -------
Cash flow from financing activities
Interest paid (12.5) (15.0)
Dividends paid - (23.6)
Purchase of own shares for Employee Benefit
Trust (0.3) (2.0)
Refinancing costs paid - (0.3)
Proceeds from drawdown of revolving credit
facility 91.6 33.5
Repayments of revolving credit facility (135.7) (73.4)
Principal element of lease payments (6.4) (5.6)
Net cash used in financing activities (63.3) (86.4)
--------------------------------------------- ----- -------- -------
Net increase/(decrease) in cash and cash
equivalents 20.6 (0.9)
Exchange gains/(losses) on cash and cash
equivalents 0.1 (2.0)
Cash and cash equivalents at the beginning
of the year 49.0 51.9
Cash and cash equivalents at the end of
the year 69.7 49.0
--------------------------------------------- ----- -------- -------
1 Excluding the effects of exchange differences on consolidation.
Notes to the financial statements
1. General information
Tyman plc is a leading international supplier of engineered
fenestration and access solutions to the construction industry. The
Group designs and manufactures products that enhance the comfort,
sustainability, security, safety and aesthetics of residential
homes and commercial buildings. Tyman serves its markets through
three regional divisions. Headquartered in London, the Group
employs approximately 4,130 people with facilities in 17 countries
worldwide.
Tyman plc is a public limited company listed on the London Stock
Exchange, incorporated and domiciled in England and Wales. The
address of the Company's registered office is 29 Queen Anne's Gate,
London SW1H 9BU.
2. Accounting policies and basis of preparation
The consolidated financial statements of Tyman plc have been
prepared in accordance with international accounting standards in
conformity with the requirements of the Companies Act 2006 and
international financial reporting standards adopted pursuant to
Regulation (EC) No 1606/2002 as it applies in the European
Union.
The consolidated financial statements have been prepared on a
historical cost basis, except for items that are required by IFRS
to be measured at fair value, principally certain financial
instruments.
The financial information included in the full year results
announcement does not constitute statutory accounts of the Company
for the years ended 31 December 2020 and 2019. Statutory accounts
for the year ended 31 December 2019 have been reported on by the
Company's auditor and delivered to the Registrar of Companies.
Statutory accounts for the year ended 31 December 2020 have been
audited and will be delivered to the Registrar of Companies
following the Company's Annual General Meeting. The report of the
auditors for both years was (i) unqualified, (ii) did not include a
reference to any matters to which the auditors drew attention by
way of emphasis without qualifying their report, and (iii) did not
contain a statement under Section 498 (2) or (3) of the Companies
Act 2006.
These results were approved by the Board of Directors on 4 March
2021.
2.1 Going concern
The Group's business activities, financial performance and
position, together with factors likely to affect its future
development and performance including the impact of COVID-19, are
described in the overview of results on pages 3 to 6.
As at 31 December 2020, the Group had cash and cash equivalents
of GBP69.7 million and an undrawn RCF available of GBP143.1
million, giving liquidity headroom of GBP212.8 million. The Group
also has potential access to an uncommitted accordion facility of
GBP70 million.
The Group is subject to leverage and interest cover covenants
tested in June and December and had significant headroom on both
covenants at 31 December 2020. In order to provide increased
headroom during the period of uncertainty earlier in the year, the
Group agreed a temporary relaxation of the leverage covenant from
3.0x adjusted EBITDA to 3.5x at 31 December 2020 and 4.0x at 30
June 2021.
The Group has performed an assessment of going concern through
modelling several scenarios. The base case scenario reflects the
budget for 2021 and the strategic plan financials for 2022, which
assumes current market conditions are maintained. A severe but
plausible downside scenario has also been modelled, which assumes a
deterioration in revenue from the base case of 17%. This scenario
could arise if further significant lockdown measures are introduced
in key markets or the global economy enters a prolonged period of
deep recession and reflects the level of deterioration experienced
in H1 2020 when the majority of the impact from COVID-19 was felt.
This scenario includes additional cost reduction actions available,
mainly in relation to further reductions in discretionary spend.
There are further cost mitigating actions that could be taken by
management in the event this became necessary.
In all scenarios modelled, the Group would retain significant
liquidity and covenant headroom throughout the going concern
period.
Reverse stress-testing has also been performed to model a
scenario which would result in elimination of covenant headroom
within the going concern assessment period. This scenario was
considered highly unlikely.
Having reviewed the various scenario models, availably liquidity
and taking into account current trading, the Directors are
satisfied that the Group has sufficient resources to continue in
operation for the foreseeable future, a period of not less than 12
months from the date of this report. Accordingly, the consolidated
financial information has been prepared on a going concern
basis.
Having reviewed the various scenario models, availably liquidity
and taking into account current trading, the Directors are
satisfied that the Group has sufficient resources to continue in
operation for the foreseeable future, a period of not less than 12
months from the date of this report. Accordingly, the consolidated
and Company financial information has been prepared on a going
concern basis.
2.2 Changes in accounting policies and disclosures
2.2.1 New, revised and amended EU-endorsed accounting
standards
The accounting standards that became applicable in the year did
not materially impact the Group's accounting policies and did not
require retrospective adjustments.
2.2.2 New, revised and amended accounting standards currently
EU-endorsed but not yet effective
A number of new, revised and amended accounting standards and
interpretations are currently endorsed but are effective for annual
periods beginning on or after 1 January 2021, and have not been
applied in preparing these consolidated financial statements.
None of the standards which have been issued by the IASB but are
not yet effective are expected to have a material impact on the
Group.
2.2.3 Other changes to accounting policies
The Group has utilised available government job retention
schemes across various territories. The amount of government
support received outside of the United Kingdom in the year is
GBP1.7 million, and this has been accounted for as a government
grant under IAS 20. As the grant has been intended to cover
employee costs, this has been recognised in the profit or loss
within administrative expenses, offsetting the related expense.
GBP2.3 million of government support income received during the
year in the United Kingdom was repaid in December 2020.
3. Segment reporting
3.1 Segment information
The reporting segments reflect the manner in which performance
is evaluated and resources are allocated. The Group operates
through three clearly defined divisions: Tyman North America, Tyman
UK & Ireland and Tyman International.
North America comprises all the Group's operations within the
US, Canada and Mexico. UK & Ireland comprises the Group's UK
and Ireland hardware business, together with Access 360 and Tyman
Sourcing Asia. International comprises the Group's remaining
businesses outside the US, Canada, Mexico and the UK (although
includes the two UK seal manufacturing plants). Centrally incurred
functional costs that are directly attributable to a division are
allocated or recharged to the division. All other centrally
incurred costs and eliminations are disclosed as a separate line
item in the segment analysis.
Each reporting segment broadly represents the Group's
geographical focus, being the North American, UK and International
operations respectively. In the opinion of the Board, there is no
material difference between the Group's operating segments and
segments based on geographical splits. Accordingly, the Board does
not consider geographically defined segments to be reportable. For
completeness, the Group discloses certain financial data for
business carried on in the UK that is not accounted for in Tyman UK
& Ireland in note 3.2.
The following tables present Group revenue and profit
information for the Group's reporting segments, which have been
generated using the Group accounting policies, with no differences
of measurement applied, other than those noted above.
3.2 Revenue
2020 2019
GBP'm GBP'm
--------------- ------------------------------------ ------------------------------------
Segment Inter-segment External Segment Inter-segment External
revenue revenue revenue revenue revenue revenue
--------------- --------- -------------- --------- --------- -------------- ---------
North America 374.8 (2.7) 372.1 388.3 (2.3) 386.0
UK & Ireland 92.8 (0.6) 92.2 107.5 (0.3) 107.2
International 110.9 (2.4) 108.5 122.8 (2.3) 120.5
Total revenue 578.5 (5.7) 572.8 618.6 (4.9) 613.7
--------------- --------- -------------- --------- --------- -------------- ---------
Included within the Tyman International segment is revenue
attributable to the UK of GBP17.2 million (2019: GBP19.4 million).
There are no single customers which account for greater than 10% of
total revenue.
3.3 Profit before taxation
2020 2019
Note GBP'm GBP'm
------------------------------------- ----- ------- -------
North America 64.5 64.5
UK & Ireland 8.8 13.8
International 12.3 14.8
------------------------------------- ----- ------- -------
Operating segment result 85.6 93.1
Centrally incurred costs (5.3) (7.7)
------------------------------------- ----- ------- -------
Adjusted operating profit 80.3 85.4
Exceptional items 4 (1.8) (18.9)
Amortisation of acquired intangible
assets 7 (18.8) (23.5)
Impairment of acquired intangibles 7 - (2.5)
------------------------------------- ----- ------- -------
Operating profit 59.7 40.5
Net finance costs (12.1) (15.7)
Profit before taxation 47.6 24.8
------------------------------------- ----- ------- -------
4. Exceptional items
2020 2019
GBP'm GBP'm
----------------------------------- ------- -------
Footprint restructuring - costs - (7.1)
Footprint restructuring - credits 0.2 0.6
------------------------------------ ------- -------
Footprint restructuring - net 0.2 (6.5)
------------------------------------ ------- -------
M&A and integration - costs (0.8) (5.3)
M&A and integration - credits 0.6 -
----------------------------------- ------- -------
M&A and integration - net (0.2) (5.3)
Loss on disposal of business (1.8) (1.7)
Impairment charges - (5.4)
(1.8) (18.9)
----------------------------------- ------- -------
5. Taxation
5.1 Taxation - income statement and other comprehensive
income
2020 2019
GBP'm GBP'm
--------------------------------------------------- ------- -------
Current taxation
Current tax on profit for the year (15.5) (15.0)
Prior year adjustments 1.4 1.6
Total current taxation (14.1) (13.4)
---------------------------------------------------- ------- -------
Deferred taxation
Origination and reversal of temporary differences 3.6 6.8
Rate change adjustment 0.1 (0.1)
Prior year adjustments - (0.4)
Total deferred taxation 3.7 6.3
---------------------------------------------------- ------- -------
Income tax charge in the income statement (10.4) (7.1)
---------------------------------------------------- ------- -------
Total (charge)/credit relating to components
of other comprehensive income
Current tax (charge)/credit on translation (0.2) -
Current tax credit on share-based payments 0.1 0.2
Deferred tax charge on actuarial gains
and losses 0.1 0.3
Deferred tax (charge)/credit on share-based
payments 0.1 (0.1)
Deferred tax (charge)/credit on translation (0.2) 0.3
Income tax (charge)/credit in the statement
of other comprehensive income (0.1) 0.7
---------------------------------------------------- ------- -------
Total current taxation (14.2) (13.2)
Total deferred taxation 3.7 6.8
Total taxation (10.5) (6.4)
---------------------------------------------------- ------- -------
The Group's UK profits for this financial year are taxed at the
statutory rate of 19.0% (2019: 19.0%). The deferred tax balances
have been measured using the applicable enacted rates. Taxation for
other jurisdictions is calculated at rates prevailing in those
respective jurisdictions.
5.2 Reconciliation of the total tax charge
The tax assessed for the year differs from the standard rate of
tax in the UK of 19.0% (2019: 19.0%). The differences are explained
below:
2020 2019
GBP'm GBP'm
--------------------------------------------------- ------- ---------
Profit before taxation 47.6 24.8
---------------------------------------------------- ------- ---------
Rate of corporation tax in the UK of 19.0% (2019:
19.0%) (9.0) (4.7)
Effects of:
Expenses not deductible for tax purposes (0.1) (1.6)
Overseas tax rate differences (2.8) (1.9)
Rate change adjustment 0.1 (0.1)
Prior year adjustments 1.4 1.2
Income tax charge in the income statement (10.4) (7.1)
---------------------------------------------------- ------- -------
5.3 Factors that may affect future tax charges
On 25 April 2019, the European Commission published its final
decision regarding its investigation into the UK CFC rules,
concluding that the exemption applied to income derived from UK
activities constituted a breach of EU State Aid rules. On 12 June
2019, the UK government applied to the EU General Court to annul
this decision. Like many other multinational Groups that have acted
in accordance with UK legislation, the Group may be affected by the
final outcome of this case. The Group estimates the potential range
of exposure is between GBPnil and GBP4 million. The Group does not
consider that a provision is required at this stage based on the
level of uncertainty that exists over the potential liability. This
is considered to be a contingent liability at 31 December 2020.
6. Earnings per share
6.1 Earnings per share
2020 2019
GBP'm GBP'm
---------------------------- ------- -------
Profit for the year 37.2 17.7
Basic earnings per share 19.07p 9.08p
Diluted earnings per share 19.00p 9.05p
----------------------------- ------- -------
Basic earnings per share amounts are calculated by dividing net
profit for the year attributable to ordinary equity holders by the
weighted average number of ordinary shares outstanding during the
year.
Diluted earnings per share amounts are calculated by dividing
the net profit attributable to ordinary equity holders by the
weighted average number of ordinary shares outstanding during the
year plus the weighted average number of ordinary shares that would
be issued on the conversion of all the diluted potential ordinary
shares into ordinary shares.
6.1.1 Weighted average number of shares
2020 2019
'm 'm
---------------------------------------------- ------ ------
Weighted average number of shares (including
treasury shares) 196.8 196.8
Treasury and Employee Benefit Trust shares (1.7) (1.9)
----------------------------------------------- ------ ------
Weighted average number of shares - basic 195.1 194.9
Effect of dilutive potential ordinary
shares - LTIP awards and options 0.7 0.8
Weighted average number of shares - diluted 195.8 195.7
----------------------------------------------- ------ ------
6.1.2 Non-GAAP Alternative Performance Measure: adjusted
earnings per share
The Group presents an adjusted earnings per share measure which
excludes the impact of exceptional items, certain non-cash finance
costs, amortisation of acquired intangible assets and certain
non-recurring items. adjusted earnings per share has been
calculated using the adjusted profit before taxation and using the
same weighted average number of shares in issue as the earnings per
share calculation.
Adjusted profit after taxation is derived as follows:
2020 2019
GBP'm GBP'm
------------------------------------------------ ------- -------
Profit before taxation 47.6 24.8
Exceptional items 1.8 18.9
(Loss)/gain on revaluation of fair value hedge (0.3) 0.8
Amortisation of borrowing costs 0.5 0.5
Amortisation of acquired intangible assets 18.8 23.5
Impairment of acquired intangible assets - 2.5
------------------------------------------------- ------- -------
Adjusted profit before taxation 68.4 71.0
Income tax charge (10.4) (7.1)
Add back: Adjusted tax effect(1) (4.9) (10.4)
Adjusted profit after taxation 53.1 53.5
------------------------------------------------- ------- -------
1 Tax effect of exceptional items, amortisation of borrowings
costs, amortisation of acquired intangible assets, gain or loss on
revaluation of fair value hedge and unwinding of discount on
provisions.
Adjusted earnings per share is summarised as follows:
2020 2019
------------------------------------- ------- -------
Basic Adjusted earnings per share 27.22p 27.46p
Diluted Adjusted earnings per share 27.12p 27.35p
-------------------------------------- ------- -------
7. Goodwill and intangible assets
7.1 Carrying amount of goodwill
GBP'm
------------------------------ -------
Net carrying value
At 1 January 2019 382.1
Acquisitions of subsidiaries 0.9
Exchange difference (11.7)
-------------------------------- -------
At 31 December 2019 371.3
Exchange difference (9.4)
At 31 December 2020 361.9
-------------------------------- -------
Goodwill is monitored principally on an operating segment basis
and the net book value of goodwill is allocated by CGU as
follows:
2020 2019
GBP'm GBP'm
--------------- ------- -------
North America 265.6 275.7
UK & Ireland 60.2 60.2
International 36.1 35.4
361.9 371.3
--------------- ------- -------
7.2 Carrying amount of intangible assets
Computer Acquired Customer
software brands relationships Total
GBP'm GBP'm GBP'm GBP'm
------------------------------ ---------- --------- --------------- --------
Cost
At 1 January 2019 14.9 88.9 266.9 370.7
Additions 0.7 - - 0.7
Disposals (1.8) - - (1.8)
Acquisitions of subsidiaries - 0.6 - 0.6
Transfers from property,
plant and equipment - 0.3 - 0.3
Exchange difference (0.6) (3.3) (8.8) (12.7)
------------------------------- ---------- --------- --------------- --------
At 31 December 2019 13.2 86.5 258.1 357.8
Additions 0.6 - - 0.6
Disposals (0.4) - - (0.4)
Exchange difference (0.2) (0.7) (5.4) (6.3)
At 31 December 2020 13.2 85.8 252.7 351.7
------------------------------- ---------- --------- --------------- --------
Accumulated amortisation
At 1 January 2019 (5.5) (48.1) (182.3) (235.9)
Amortisation charge for
the year (1.5) (6.4) (17.1) (25.0)
Disposals 0.5 - - 0.5
Impairment - - (2.5) (2.5)
Exchange difference 0.6 2.0 6.5 9.1
------------------------------- ---------- --------- --------------- --------
At 31 December 2019 (5.9) (52.5) (195.4) (253.8)
Amortisation charge for
the year (1.5) (5.7) (13.1) (20.3)
Disposals 0.2 - - 0.2
Exchange difference 0.1 0.8 5.4 6.3
At 31 December 2020 (7.1) (57.4) (203.1) (267.6)
------------------------------- ---------- --------- --------------- --------
Net carrying value
At 1 January 2019 9.4 40.8 84.6 134.8
------------------------------- ---------- --------- --------------- --------
At 31 December 2019 7.3 34.0 62.7 104.0
------------------------------- ---------- --------- --------------- --------
At 31 December 2020 6.1 28.4 49.6 84.1
------------------------------- ---------- --------- --------------- --------
The acquisition of subsidiaries in 2019 relates to the
acquisition of Y-Cam in February 2019.
The amortisation charge for the year has been included in
administrative expenses in the income statement and comprises
GBP18.8 million (2019: GBP23.5 million) relating to amortisation of
acquired intangible assets and GBP1.5 million (2019: GBP1.5
million) relating to amortisation of other intangible assets.
An impairment charge of GBP2.5 million was recognised on
customer relationship intangibles in 2019 as a result of the
closure of the Fremont, Nebraska facility. No impairment has been
recognised in 2020.
8. Leases
8.1 The Group's leasing arrangements
The Group leases manufacturing and warehousing facilities,
offices, and various items of plant, machinery, and vehicles used
in its operations.
Leases of manufacturing and warehousing facilities and offices
generally have lease terms between 5 and 25 years, while plant,
machinery, and vehicles generally have lease terms between 6 months
and 5 years. The Group's obligations under its leases are secured
by the lessor's title to the leased assets. Generally, the Group is
restricted from assigning and subleasing the leased assets. There
are several lease contracts that include extension and termination
options and variable lease payments, which are further discussed
below.
8.2 Carrying value of right of use assets
Set out below are the carrying amounts of right-of-use assets
recognised and the movements during the year
Land and Plant and
buildings machinery Total
Note GBP'm GBP'm GBP'm
------------------------ ------ ----------- ----------- -------
At 1 January 2019 62.8 2.2 65.0
Additions 1.9 1.2 3.1
Depreciation charge (6.5) (1.0) (7.5)
Exchange difference (1.2) - (1.2)
-------------------------------- ----------- ----------- -------
At 31 December 2019 57.0 2.4 59.4
Additions 2.9 0.4 3.3
Disposals (1.6) - (1.6)
Depreciation charge (6.7) (1.0) (7.7)
Revaluation impairment (0.3) - (0.3)
Exchange difference (1.3) - (1.3)
-------------------------------- ----------- ----------- -------
At 31 December 2020 50.0 1.8 51.8
-------------------------------- ----------- ----------- -------
8.3 Carrying value of lease liabilities
Set out below are the carrying amounts of lease liabilities
(included under interest-bearing loans and borrowings) and the
movements during the year:
2020 2019
GBP'm GBP'm
------------------------- ------- -------
At 1 January (60.0) (63.7)
New leases (3.3) (3.1)
Lease disposals 1.6 -
Interest charge (2.8) (3.0)
Lease payments 9.2 8.6
Foreign exchange 1.5 1.2
-------
At 31 December (53.8) (60.0)
-------------------------- ------- -------
Current liabilities (5.4) (6.0)
Non-current liabilities (48.4) (54.0)
At 31 December (53.8) (60.0)
-------------------------- ------- -------
8.4 Amounts recognised in profit or loss
The following are the amounts recognised in profit or loss
2020 2019
GBP'm GBP'm
------------------------------------------------ ------- -------
Depreciation of RoU assets (7.7) (7.5)
Interest expense (included in finance
cost) (2.8) (3.0)
Expense relating to short-term and low-value
assets not included in lease liabilities
(included in cost of sales and administration
expenses) (1.0) (1.3)
Expense relating to variable lease payments
not included in lease liabilities (included
in cost of sales and administration expenses) (0.5) (0.5)
(12.0) (12.3)
------------------------------------------------ ------- -------
8.5 Extension and termination options
The Group has several lease contracts that include extension and
termination options. These options are negotiated by management to
provide flexibility in managing the leased-asset portfolio and
align with the Group's business needs.
As at 31 December 2020, potential future cash outflows of
GBP68.1 million (2019: GBP63.0 million) (undiscounted) have not
been included in the lease liability because it is not reasonably
certain that the leases will be extended (or not terminated).
9. Interest-bearing loans and borrowings
9.1 Carrying amounts of interest-bearing loans and
borrowings
2020 2019
GBP'm GBP'm
------------------------------------ -------- --------
Unsecured borrowings at amortised cost:
Bank borrowings (97.0) (137.7)
Senior notes (73.3) (75.8)
Capitalised borrowing costs 1.2 1.7
------------------------------------ -------- --------
Borrowings (169.1) (211.8)
Lease liabilities 8 (53.8) (60.0)
Total interest-bearing liabilities (222.9) (271.8)
------------------------------------ -------- --------
Analysed as:
Current liabilities (45.7) (6.3)
Non-current liabilities (177.2) (265.5)
(222.9) (271.8)
------------------------------------ -------- --------
There were no defaults in interest payments in the year under
the terms of the existing loan agreements.
Non-cash movements in the carrying amount of interest-bearing
loans and borrowings relate to the amortisation of borrowing
costs.
The carrying amounts of interest-bearing loans and borrowings
(excluding lease liabilities) are denominated in the following
currencies:
2020 2019
GBP'm GBP'm
------------ -------- --------
Sterling 1.2 1.7
US dollars (108.2) (146.7)
Euros (62.1) (66.8)
(169.1) (211.8)
------------ -------- --------
9.1.2 Bank borrowings
Multi-currency revolving credit facility
On 19 February 2018, the Group entered into the 2018 Facility.
The 2018 Facility gives the Group access to up to GBP310.0 million
of borrowings and comprises a GBP240.0 million committed revolving
credit facility and a GBP70.0 million uncommitted accordion
facility, expiring in February 2024. The banking facility is
unsecured and is guaranteed by Tyman plc and its principal
subsidiary undertakings.
As at 31 December 2020, the Group has undrawn amounts committed
under the multi-currency revolving credit facility of GBP143.1
million (2019: GBP102.8 million). These amounts are floating rate
commitments which expire beyond 12 months.
Other borrowings
The Group acquired bank borrowings as part of the acquisition of
Reguitti. At 31 December 2020, the remaining facility has a
carrying value of GBP0.2 million (2019: GBP0.5 million) an undrawn
value of GBPNil (2019: GBPNil). The facility has a maturity of 22
May 2022 and is unsecured.
9.1.3 Private placement notes
On 19 November 2014, the Group issued private debt placement
notes with US financial institutions totalling US$100.0
million.
The debt placement is unsecured and comprises US$55.0 million
debt with a seven-year maturity at a coupon of 4.97% and US$45.0
million with a 10-year maturity at a coupon of 5.37%. The US$55.0
million is due for repayment in November 2021 and is therefore
classified as a current liability. The $45.0 million is due in 2024
and is classified as non-current.
9.2 Net debt
9.2.1 Net debt summary
2020 2019
GBP'm GBP'm
------------------- -------- --------
Borrowings (169.1) (211.8)
Lease liabilities (53.8) (60.0)
Cash 69.7 49.0
-------------------- -------- --------
At 31 December (153.2) (222.8)
-------------------- -------- --------
9.2.2 Net debt reconciliation
Cash Borrowings Lease liabilities Total
------------------------------ ------ ----------- ------------------ --------
At 1 January 2019 51.9 (260.7) (63.7) (272.5)
Cash flows - 40.4 8.6 49.0
Acquisitions (0.9) - - (0.9)
New leases - - (3.0) (3.0)
Lease modifications - - (0.1) (0.1)
Lease interest accretion - - (3.0) (3.0)
Foreign exchange adjustments (2.0) 9.0 1.2 8.2
Amortisation of borrowing
costs - (0.5) - (0.5)
------------------------------- ------ ----------- ------------------ --------
At 31 December 2019 49.0 (211.8) (60.0) (222.8)
Cash flows 22.1 44.0 9.2 75.3
Acquisitions (1.5) - - (1.5)
Disposals - - 1.6 1.6
New leases - - (3.3) (3.3)
Lease interest accretion - - (2.8) (2.8)
Foreign exchange adjustments 0.1 (0.8) 1.5 0.8
Amortisation of borrowing
costs - (0.5) - (0.5)
------------------------------- ------ ----------- ------------------ --------
At 31 December 2020 69.7 (169.1) (53.8) (153.2)
------------------------------- ------ ----------- ------------------ --------
10. Acquisitions and disposals
10.1 Acquisitions
During the year, GBP1.5 million of deferred consideration was
settled in relation to Zoo Hardware Limited, which was acquired in
2018.
102. Disposals
The trade and certain assets of the Ventrolla business were
divested on 5 November 2020, for consideration of GBP1. A loss on
disposal of GBP1.8 million was recorded, reflecting the difference
between the carrying value of assets sold and the fair value of
consideration. This has been recognised in exceptional items in the
income statement.
11. Adjustments to cash flows from operating activities
The following non-cash and financing adjustments have been made
to profit before taxation to arrive at operating cash flow:
2020 2019
Note GBP'm GBP'm
---------------------------------------------- ----- ------- -------
Net finance costs 12.1 15.7
Depreciation of PPE 12.7 13.1
Depreciation of right of use assets 7.7 7.5
Amortisation of intangible assets 7 20.3 25.0
Impairment of intangible assets 7 - 2.5
Impairment of property, plant and equipment 0.5 4.3
Impairment of right of use assets 0.3 -
Loss on disposal of property, plant and equipment 1.3 1.4
Pension service costs and expected administration
costs 0.4 0.3
Non-cash provision movements (0.1) 1.3
Share-based payments 0.7 0.8
55.9 71.9
---------------------------------------------- ----- ------- -------
12. Events after the balance sheet date
There were no events after the balance sheet date.
Alternative performance measures
The Group uses a number of alternative performance measures.
APMs provide additional useful information to shareholders on the
underlying performance of the business. These APMs are consistent
with how business performance is measured internally by the Group,
align with the Group's strategy, and remuneration policies. These
measures are not recognised under IFRS and may not be comparable
with similar measures used by other companies. APMs are not
intended to be superior to or a substitute for GAAP measures.
The following summarises the key APMs used, why they are used by
the Group, and how they are calculated. Where appropriate, a
reconciliation to the nearest GAAP number is presented. Details of
other APMs are included in the Group's Annual Report and Accounts.
Measures formerly referred to as 'Underlying' are now referred to
as 'Adjusted'.
Adjusted operating profit and adjusted operating margin
Definition
Operating profit before amortisation of acquired intangible
assets, deferred tax on amortisation of acquired intangible assets,
impairment of acquired intangible assets, impairment of goodwill,
and exceptional items.
Adjusted operating margin is adjusted operating profit divided
by revenue.
Purpose
This measure is used to evaluate the trading operating
performance of the Group.
Exceptional items are excluded from this measure as they are
largely one off and non-trading in nature and therefore drawing
these out aids the understanding of performance.
Amortisation of acquired intangible assets is excluded from this
measure as this is a significant non-cash fixed charge that is not
affected by the trading performance of the business.
Impairment of acquired intangible assets and goodwill is
excluded, as this can be a significant non-cash charge.
Reconciliation/calculation
Adjusted operating profit is reconciled on the face of the
Income Statement on page 25.
Like for like or LFL revenue and operating profit
Definition
The comparison of revenue or adjusted operating profit, as
appropriate, excluding the impact of any acquisitions made during
the current year and, for acquisitions made in the comparative
year, excluding from the current year result the impact of the
equivalent current year pre-acquisition period. For disposals, the
results are excluded for the whole of the current and prior period.
The prior period comparative is retranslated at the current period
average exchange rate. The result of Y-cam is not adjusted as it is
not material. The Group considers these amendments provide
shareholders with a comparable basis from which to understand the
organic trading performance in the year.
Purpose
This measure is used by management to evaluate the Group's
organic growth in revenue and adjusted operating profit year on
year, excluding the impact of M&A and currency movements.
Reconciliation/calculation
2020 2019
GBP'm GBP'm
------------------------------------------ ------- -------
Reported revenue 572.8 613.7
Revenue from businesses disposed
of in current year - (0.9)
Effect of exchange rates - (3.4)
Like-for-like revenue 572.8 609.5
-------------------------------------------- ------- -------
Adjusted operating profit 80.3 85.4
Operating profit for businesses disposed
of in current year - 0.2
Effect of exchange rates - (0.6)
Like-for-like adjusted operating
profit 80.3 85.0
-------------------------------------------- ------- -------
Adjusted profit before tax and adjusted profit after tax
Definition
Profit before amortisation of acquired intangible assets,
deferred tax on amortisation of acquired intangible assets,
impairment of acquired intangible assets, impairment of goodwill,
exceptional items, unwinding of discount on provisions, gains and
losses on the fair value of derivative financial instruments,
amortisation of borrowing costs and the associated tax effect.
Purpose
This measure is used to evaluate the profit generated by the
Group through trading activities. In addition to the items excluded
from operating profit above, the gains and losses on the fair value
of derivative financial instruments, amortisation of borrowing
costs and the associated tax effect are excluded. These items are
excluded as they are of a non-trading nature.
Reconciliation/calculation
A reconciliation is included in note 6.1.
Adjusted earnings per share
Definition
Adjusted profit after tax divided by the basic weighted average
number of ordinary shares in issue during the year, excluding those
held as treasury shares.
Purpose
This measure is used to determine the improvement in adjusted
EPS for our shareholders.
Reconciliation/calculation
A reconciliation of adjusted profit after tax and the number of
shares can be found in note 6.
Leverage
Definition
Adjusted net debt translated at the average exchange rate for
the year divided by adjusted EBITDA, as defined in the banking
agreements.
Purpose
This measure is used to evaluate the ability of the Group to
generate sufficient cash flows to cover its contractual debt
servicing obligations.
Reconciliation/calculation
2020 2019
GBP'm GBP'm
----------------------------------------------- ------ ------
Adjusted Net Debt (at average exchange rate) 105.3 170.1
Adjusted EBITDA (in accordance with covenants) 95.2 98.9
----------------------------------------------- ------ ------
Leverage 1.1x 1.7x
----------------------------------------------- ------ ------
Return on Capital Employed (ROCE)
Definition
Adjusted operating profit as a percentage of the last thirteen
month average capital employed.
Purpose
This measure is used to evaluate how efficiently the Group's
capital is being employed to improve profitability.
Reconciliation/calculation
2020 2019
GBP'm GBP'm
-------------------------- ------ ------
Adjusted operating profit 80.3 85.4
Average capital employed 653.8 709.9
-------------------------- ------ ------
ROCE 12.3% 12.0%
-------------------------- ------ ------
Return on acquisition investment (ROAI)
Definition
For acquisitions made in the current year, this reflects ROAI
calculated on the basis of adjusted operating profit generated in
the year since the acquisition date. For acquisitions made in
previous years, this reflects ROAI calculated on the basis of
adjusted operating profit generated in the year or the last 12
months to the end of the two-year period since acquisition.
Purpose
These measures are used to evaluate the efficiency and returns
achieved by the Group from its investments in recent material
business acquisitions. ROAI is measured over a two-year period
following acquisition.
Reconciliation/calculation
Ashland Zoo Profab Reguitti
$m GBPm GBPm EURm
-------------------------------- -------- ------ ------- ---------
Adjusted operating profit 18.8 3.4 0.4 1.0
Acquisition enterprise value 106.9 19.1 4.4 16.7
Change in controllable capital
employed (1.9) (0.8) 0.3 1.7
-------------------------------- -------- ------ ------- ---------
105.0 18.3 4.7 18.4
--------------------------------
ROAI 17.9% 18.6% 8.8% 5.2%
-------------------------------- -------- ------ ------- ---------
Operating cash conversion and operational cash flow
Definition
Operational cash flow
Net cash generated from operations before income tax paid,
exceptional costs cash settled in the year and pension
contributions, and after proceeds on disposal of property, plant
and equipment, payments to acquire property, plant and equipment
and payments to acquire intangible assets.
Operating cash conversion
Operational cash flow divided by adjusted operating profit.
Purpose
These measures are used to evaluate the cash flow generated by
operations in order to pay down debt, return cash to shareholders
and make further investment in the business.
Reconciliation/calculation
A reconciliation is included in the financial review on page
18.
Definitions and glossary of terms
Access 360 The Access Solutions business of ERA, constituting
Bilco UK, Profab and Howe Green
APM Alternative Performance Measure
Ashland or Ashland Ashland Hardware Holdings Inc, acquired by
Hardware AmesburyTruth on 15 March 2018
Bilco The Bilco Company acquired by the Group's AmesburyTruth
Division on 1 July 2016
bps Basis points
CGU Cash Generating Unit
CIPS Chartered Institute of Purchasing and Supply
DSBP Deferred share bonus plan
EB Trust (EBT) The Tyman Employees' Benefit Trust
EBITDA Earnings before Interest, Taxation, Depreciation
and Amortisation
EMEAI Europe, Middle East and Africa and India region
EPS Earnings per Share
ESSP Employee Sharesave plan
ExCo Executive Committee
FVPL Fair value through profit or loss
Giesse Giesse Group acquired by the Group's Schlegel
International Division on 7 March 2016.
Howe Green Howe Green Limited acquired by the Group on
3 March 2017
IoT Internet of Things
LFL Like-for-like
LTM Last twelve months
M&A Mergers and acquisitions
NAHB The National Association of Home Builders
NPD New Product Development
OEM Original equipment manufacturer
PMI Purchasing Managers' Index
PPE Property, plant and equipment
Profab or Profab Profab Access Solutions Limited acquired by
Access ERA on 31 July 2018
Reguitti Reguitti S.P.A acquired by SchlegelGiesse on
31 August 2018
ROAI Return on acquisition investment
RMI Renovation, maintenance and improvement
ROCE Return on capital employed
SKU Stock keeping unit
Smartware Integrated and mechanical and electronic security
solutions
TCFD Taskforce for climate related financial disclosures
USPP US private placement
Ventrolla Sash window refurbishment business in ERA
Zoo or Zoo Hardware Zoo Hardware Limited acquired by ERA on 10
May 2018
Exchange rates
The following foreign exchange rates have been used in the
financial information to translate amounts into Sterling:
Closing Rates: 2020 2019
-------------------- ------- -------
US dollars 1.3650 1.3186
Euros 1.1129 1.1757
Australian dollars 1.7708 1.8801
Canadian dollars 1.7393 1.7164
Brazilian Real 7.0898 5.3005
-------------------- ------- -------
Average Rates: 2020 2019
-------------------- ------- -------
US dollars 1.2836 1.2770
Euros 1.1251 1.1406
Australian dollars 1.8626 1.8365
Canadian dollars 1.7200 1.6943
Brazilian Real 6.6115 5.0371
-------------------- ------- -------
Roundings
Percentage numbers have been calculated using unrounded figures,
which may lead to small differences in some figures and percentages
quoted.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
FR DKQBDABKKQNK
(END) Dow Jones Newswires
March 04, 2021 02:00 ET (07:00 GMT)
Tyman (LSE:TYMN)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024
Tyman (LSE:TYMN)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024
