Halma plc Annual Report 2019: A Year of Record Revenue and Profit

Halma plc has announced its annual report for 2019, highlighting a successful year with record revenue and profit. The company achieved a significant milestone by delivering its 40th consecutive year of dividend per share growth of 5% or more.

The proposed final dividend has been increased by 7%, marking the 40th consecutive year of dividend per share increases of 5% or more. This achievement is a testament to Halma's commitment to delivering value to its shareholders.

During the financial year, Halma completed four acquisitions and two small asset purchases, demonstrating the company's continued focus on strategic investment and growth. The strong cash generation, with a cash conversion rate of 88%, has enabled Halma to maintain a robust balance sheet, supporting sustained investment in organic growth and acquisitions.

Research and development expenditure increased by 11% during the year, representing 5.2% of revenue. This significant investment demonstrates Halma's commitment to innovation and driving future growth. The company also reported increased returns on its investments, with Return on Sales (ROS) of 20.3% and Return on Tangible Invested Capital (ROTIC) of 16.1%.

Halma's performance was strong across all four sectors, with revenue and Adjusted Profit Before Tax (APBT) growing organically in constant currency terms by 10% and 11%, respectively, for the second consecutive year.

The company reported a significant increase in statutory profit before tax, up 20% compared to the previous year. This growth was driven by strong performances across all regions, with the USA, UK, Mainland Europe, and Asia Pacific all contributing to the company's overall success.

In addition to its financial performance, Halma has also highlighted its commitment to sustainability through its Environment Commitment Statement and Supplier Statement. The company has outlined its approach to sustainability and progress made in this area, including its focus on reducing environmental impact and promoting responsible business practices.

The report also provides insights into the company's markets and their long-term growth drivers, highlighting opportunities for Halma to continue growing and innovating in the years ahead.

Overall, Halma plc's annual report for 2019 is a testament to the company's success and commitment to delivering value to its stakeholders. With a strong financial performance, significant investment in research and development, and a focus on sustainability, Halma is well-positioned for continued growth and success in the future.

Halma plc annual report 2019