Benchmark Holdings plc
(“Benchmark”, the “Company” or the “Group”)
Second Quarter and Interim results for the six months ended 31 March 2022
Excellent H1 and Q2 results building on strong FY21 performance
Benchmark (LSE: BMK), the aquaculture biotechnology company, announces its unaudited interim results for the six months ended 31 March 2022 (the “Period”). The Company also announces its unaudited results for the three months ended 31 March 2022 in compliance with the terms of its senior secured bond.
Financial highlights
Excellent H1 FY22 performance:
- +33% growth in revenues (+32% at constant exchange rate (CER)) to £79.2m (H1 FY21:£59.5m)
- 100% increase in Adjusted EBITDA (+96% CER) ) to £15.9m (H1 FY21: £7.9m)
- 149% increase (143% CER) in Adjusted EBITDA excluding fair value movement in biological assets to £14.8m (H1 FY21: £6.0m)
- Adjusted EBITDA margin increased to 20% (H1 FY21: 13%)
- H1 FY22 operating cash inflow £2.0m (H1 FY21: cash outflow of £1.5m)
Q2 performance:
- Represents fourth consecutive quarter of year-on-year and quarter-on-quarter Adjusted EBITDA growth; Adjusted EBITDA rose by 72% (+68% CER) to £8.4m (Q2 FY21: £4.9m)
- Loss before tax significantly narrowed to (£1.5m) (Q2 FY21:(£2.7m))
Net debt excluding lease liabilities £50.6m (30 September 2021: £56.9m)
- Cash and cash equivalents of £46.3m after cash inflow of £6.0m, including £20.1m raised from a successful cash placing in the period to maintain growth momentum
Operating highlights
Good progress on roll-out of Ectosan® Vet and CleanTreat®
- Solution continues to operate effectively delivering 99%+ efficacy and good animal welfare
- Growing customer base, third CleanTreat® system ordered and development of new system configuration underway
- Marketing Authorisation for second re-use of treatment water, increasing operational efficiency and customer appeal, was granted post period-end
Continued strong momentum in Advanced Nutrition with strong growth in revenues and earnings for all product groups and areas.
Continued growth in salmon egg sales in Genetics with contracted sales underpinning a strong outlook for the year
Commercialisation of specific pathogen-resistant (SPR) shrimp progressing well with good take-up in key markets including India
Sustainability: investing in solar panels at main production facility in Thailand which will contribute significantly towards Net Zero targets
Current trading and outlook
Trading in line with expectations:
- Strong outlook for salmon egg sales for remainder of the year
- Healthy outlook for the year in Advanced Nutrition, phased towards Q4 due to seasonality and normal shift in revenues across quarters
- Continued effort to embed Ectosan® Vet and CleanTreat® into customers' sea lice strategies
Decision to pursue a listing on Euronext Growth Oslo in H2 calendar year 2022:
- As previously announced, the Company engaged DNB Markets and Pareto Securities as Joint Global Coordinators in connection with its assessment of a listing in Oslo
- Intention to uplist to the Oslo Stock Exchange (Oslo Børs) within the following twelve months
- Listing subject to favourable market conditions
|
£m |
H1 FY22 |
H1 FY21 |
% CER H1 FY22 |
Q2 FY22 |
Q2 FY21 |
% CER Q2 FY22 |
|
Revenue |
79.2 +33% |
59.5 |
+32% |
39.2 +29% |
30.4 |
+26% |
|
Adjusted |
|
|
|
|
|
|
|
Adjusted EBITDA1 |
15.9 +100% |
7.9 |
+96% |
8.4 +72% |
4.9 |
+68% |
|
Adj. EBITDA excluding biological asset movements |
14.8 +149% |
6.0 |
+143% |
7.3 +74% |
4.2 |
+69% |
|
Adjusted Operating Profit2 |
4.9 +11% |
4.4 |
+3% |
2.4 -25% |
3.2 |
-31% |
|
Statutory |
|
|
|
|
|
|
|
Operating loss |
(2.2) |
(4.6) |
|
(0.7) |
(1.4) |
|
|
Loss before tax |
(5.1) |
(3.3) |
|
(1.5) |
(2.7) |
|
|
Basic loss per share (p) |
(1.32) |
(0.57) |
|
(0.54) |
(0.46) |
|
|
Net debt3 |
(81.4) |
(56.5) |
|
(81.4) |
(56.5) |
|
|
Net debt3 excluding lease liabilities |
(50.6) |
(42.5) |
|
(50.6) |
(42.5) |
|
Business Area summary
|
£m |
H1 FY22 |
H1 FY21 |
%CER* H1 FY22 |
Q2 FY22 |
Q2 FY21 |
% CER* Q2 FY22 |
|
Revenue |
|
|
|
|
|
|
|
Advanced Nutrition |
42.0 +20% |
35.0 |
+19% |
23.0 +15% |
19.9 |
+12% |
|
Genetics |
26.6 +20% |
22.1 |
+18% |
11.4 +20% |
9.5 |
+18% |
|
Animal Health |
10.7 +358% |
2.3 |
+359% |
4.9 +371% |
1.0 |
+372% |
|
Adjusted EBITDA1 |
|
|
|
|
|
|
|
Advanced Nutrition |
11.5 +84% |
6.2 |
+81% |
7.2 +36% |
5.2 |
+32% |
|
Genetics |
5.7 -5% |
6.0 |
-7% |
2.4 +15% |
2.1 |
+14% |
|
– Net of fair value movements in biological assets |
4.7 +16% |
4.0 |
+12% |
1.3 -7% |
1.4 |
-9% |
|
Animal Health |
0.1 |
(2.6) |
|
(0.5) |
(1.4) |
|