Biffa PLC (LON:BIFF) have given shareholders an update with confident sentiment on Wednesday.
Biffa said that its’ performance within its’ current financial year has met expectations, however there could be a delay on a new project announced a few weeks back.
Shares in Biffa trade at 290p (+1.40%). 4/3/20 12:04BST.
The firm noted that across its’ yearly period, ending March 27 – performance has been in line with board expectations.
Biffa added that progress has been made on underlying performance metrics and earnings per share.
The waste management firm said that it saw a strong performance within its’ Recycling division due to higher demand for recycled plastics. Additionally, the firms’ Collections division continued to grow.
A few weeks back, Biffa updated the market as they said that had reached financial close on the Protos energy-from-waste project in Cheshire. This project is set to cost between £285 million and £295 million, with Biffa planning to pay £45 million over the next three years.
In the update today, the firm noted that the development process was slightly behind schedule and now financial completion has been delayed.
The firm concluded by saying: “The Group has completed four small acquisitions in the year and continues to have a strong pipeline of opportunities.
Cash generation and net debt are in line with expectations, underpinning Biffa’s ability to deliver the Group’s established strategy for growth, whilst also returning cash to shareholders through its progressive dividend.
Biffa will launch its sustainability strategy: Resourceful, Responsible on Monday 16 March. The strategy will detail the Group’s ambitious approach to sustainability, defining its commitment to helping to solve the UK’s waste challenge and ensuring its business is fit for purpose over the critical years ahead.
The strategy is built around three pillars: Building a Circular Economy, Tackling Climate Change and Caring for our People and Supporting our Communities. Further detail will be shared on 16 March.
Biffa continues to closely monitor the potential impact of COVID-19 on its business and supply chains. There has not been any meaningful impact on the Group to date. The Board remains confident in the ongoing strategy and trading performance of the Group.”
