Interim Results 2021

Chris Walters, Chief Executive | James Locking, CFO

PRESSURE TECHNOLOGIES PLC

INVESTOR PRESENTATION - INTERIM RESULTS 2021

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Interim Results to 3 April 2021

2

PRESSURE TECHNOLOGIES PLC

INVESTOR PRESENTATION - INTERIM RESULTS 2021

Group Highlights

INTERIM RESULTS

  • Overall Group revenue of £14.5 million (2020: £13.9 million) and adjusted operating profit* of £1.1 million
    (2020: £0.1 million adjusted operating loss)
  • Strong performance from Chesterfield Special Cylinders (CSC) more than offsetting continued weakness in Precision Machined Components (PMC)
  • Adjusted operating profit is operating profit before amortisation, impairments and other exceptional items
  • Strong defence order book underpinned a 79% increase in revenue for CSC and an increase in adjusted EBITDA** to £3.3 million (2020: £0.7 million)
  • Oil and gas trading conditions resulted in a 58% reduction in revenue for PMC and a negative adjusted EBITDA** of £0.6 million (2020: positive EBITDA £0.7 million)

OPERATIONAL HIGHLIGHTS

  • Momentum gathering in the fast-developing hydrogen energy market, with over £1.4 million of refuelling station contract wins since December 2020 and improving visibility of future demand
  • First hydrogen storage order placed by Shell under the five-year framework agreement announced in June 2020. Second order expected imminently, both are for European refuelling station projects
  • Investment in people and production facilities to support hydrogen growth has continued at the CSC Sheffield site and will deliver significant capacity increases by the end of 2022
  • Long-termsupply agreement established with steel tube manufacturer, Vallourec and strategic stock orders placed to meet hydrogen-related demand outlook and lead times
  • PMC order book at May 2021 reached the highest level since October 2020 and OEM customers are reporting an improving outlook for the second half of 2021 and a steady recovery in 2022
  • Long-termglobal supply agreement established by PMC with Schlumberger Technology Corporation, covering a wide range of precision machined parts for oilfield service applications
  • Adjusted EBITDA is operating profit/(loss) before depreciation, amortisation, impairments and other exceptional items

Interim Results to 3 April 2021

3

PRESSURE TECHNOLOGIES PLC

INVESTOR PRESENTATION - INTERIM RESULTS 2021

Group Financial Results

Revenue 4% increase

£14.5m

(2020: £13.9m)

Adjusted operating profit*

£1.1m

(2020: £0.1m adjusted operating loss)

Operating cash outflow**

-£1.4m

Gross profit

£4.7m

(2020: £4.0m)

Profit before taxation

£0.2m

(2020: £1.5m loss before taxation)

Closing Total Net Cash***

£0.2m

(2020: £2.0m inflow)

(2020: £7.4m net debt)

  • Adjusted operating profit is operating profit before amortisation, impairments and other exceptional items ** Adjusted operating cash outflow is operating cash flow before cash flow for exceptional items
    *** Net cash/(borrowings) comprises cash and cash equivalents, bank borrowings, asset finance lease liabilities and right of use asset lease liabilities

Interim Results to 3 April 2021

4

PRESSURE TECHNOLOGIES PLC

INVESTOR PRESENTATION - INTERIM RESULTS 2021

Summary Profit & Loss

H121

H120

FY20

Revenue (£m)

14.5

13.9

25.4

Adjusted operating profit for the

period reflects the revenue mix in

Precision Machined Components Division

3.2

7.6

14.2

CSC and weak PMC operational

Chesterfield Special Cylinders Division

11.3

6.3

11.2

performance in the first half

Gross profit (£m)

4.7

4.0

5.3

CSC revenue and margin driven

Adjusted operating profit/(loss) (£m)

1.1

(0.1)

(2.4)

mainly by major defence

contract phasing benefitting

Precision Machined Components Division

(1.0)

0.3

(0.6)

the first half

Chesterfield Special Cylinders Division

3.0

0.4

(0.1)

PMC revenue and margin still

Group and Central costs

(0.9)

(0.8)

(1.7)

impacted by difficult oil and gas

market conditions, but order

Exceptional items (£m)

(0.7)

(1.9)

(18.6)

intake and enquiries are

increasing and key OEM

Operating profit/(loss) (£m)

0.4

(2.0)

(21.0)

customers are reporting an

improving outlook later in 2021

Profit/(loss) before taxation (£m)

0.2

(1.5)

(20.0)

Exceptional items relate to:

EPS basic (pence)

0.8

(5.9)

(101.5)

EPS adjusted (pence)

2.9

0.0

(6.4)

£0.4m - reorganisation

and redundancy

Dividend (pence)

nil

nil

nil

£0.2m - other plc costs

£0.1m - amortisation

Interim Results to 3 April 2021

5

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Pressure Technologies plc published this content on 17 June 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 17 June 2021 12:13:02 UTC.