Financial Summary

•  Overview 
  • 2022 was a strategically transformational year for Essentra 
  • Disposals of the Filters and Packaging businesses completed in Q4 2022, resulting in a market leading pure-play Components business and commitment to return c.£150m to shareholders 
  • The Group announced the acquisition of Wixroyd in December 2022, in line with the stated strategy of acquiring bolt-on acquisitions 
  • FY 2022 performance of the continuing business in line with the Board’s expectations 
  • FY 2023 Board expectations are unchanged 
• Components financial highlights²
  • Revenue growth of 12.0%, to £337.9m, 9.5% on a constant currency basis
  • Adjusted¹ operating profit growth of 12.0% to £63.7m, before central costs
  • Adjusted¹ operating margin increases on a constant currency basis to 18.9% before central costs, driven by strong pricing delivery offsetting inflation, and management of our cost base
  • Pro-forma³ adjusted operating profit of £43.0m (2021: £40.3m), after allocating on-going central service costs of £20.7m
  • Adjusted¹ operating cash flows of £20.2m (2021: £17.8m) and cash conversion of 80% (2021: 67%)
  • Strong balance sheet to support investment in organic and inorganic growth
• Group Reported financial highlights²
  • Operating loss of £11.3m (2021: £7.7m profit) after recognising central costs previously allocated to the discontinued operations, and including adjusting items and amortisation of acquired intangibles 
  • Discontinued post-tax loss of £152.7m (2021: £33.2m profit), including the impairment of goodwill and other intangibles for the Packaging business of £182.7m
  • Group net cash inflow from operating activities of £64.0m (2021: £63.2m)
  
  Notes:
¹  Refer to Note 16 of the Consolidated Financial Statements for definition of Adjusted performance measures
²  Prior year has been re-presented to remove the disposed Packaging and Filters businesses. See Note 1 to the Consolidated Financial Statements
³  Pro-forma operating profit is an additional Alternative Performance Measure, which has been used to present the continuing Components business on a standalone basis, using historical cost allocation methodologies. The Components adjusted operating profit has been adjusted for the central service costs that are allocated to continuing operations