Fryer and grease management firm Filta Group has revealed its full year audited results for the financial year ended 31 December 2020.
As previously indicated in the business’ financial results preview, group revenue fell 34% to £16.4m from 2019’s: £24.9m, reflecting the impact of Covid-19. Revenue declined 31% and 38% in US and UK respectively, while recurring revenue remained at over 70% of group revenue.
Despite the impact of lockdowns, the company gained 935 and 750 new customers in FY20 in the US and UK respectively, positioning Filta well as business ramps up.
Gross margins grew to 42.2% (2019: 40.7%) as prior year efficiency improvements continued to take hold.
Adjusted EBITDA of £1.1m, falling from 2019’s £3.2m, is said to reflect a robust core customer base and a strong and swift response to a significant adverse impact on the group’s markets.
Profit before tax, excluding non-cash charges, remained positive at £0.6m, though down from 2019’s £2.6m.
CEO Jason Sayers commented: “Despite the challenges of the pandemic, I am very pleased to report on the excellent progress made across the group during 2020. As outlined in previous updates, we implemented measures early on during the pandemic to improve efficiencies and preserve cash. These measures have proven successful, returning an increase in gross margins to 42.2%. Similarly, during the period, we gained 935 and 750 new customers in the US and UK respectively, providing us with a robust position from which to grow as we exit the lockdown phases.
“As lockdown restrictions continue to ease and vaccine programmes are rolled out successfully, particularly in the US and the UK, current business levels have moved past 70% of that pre-Covid-19, with the majority of our largest US and UK customers still to reopen, indicating that demand for Filta’s services is poised to increase further. In accordance with this, we have moved our focus back onto the Group’s core service offerings, following the success of the FiltaShield service, which we launched in April 2020 to help customers open as safely, as normally and as quickly as possible.”
However, he cautioned: “With Covid-19 still causing levels of uncertainty, we are continuing to carefully monitor developments in our markets and will manage our activities accordingly. Where possible we have sought ways to aid our customers in their efforts to reopen, and this has in turn improved relations with existing customers. The strength of our brand and the relations with customers has proven invaluable during this time, providing us with further confidence in the resilience of the group.
“Our long-term focus remains on growing the business both organically and through acquisitions of high margin, repeat revenue businesses in the grease management market. With the group now much more efficient and with a strong pipeline of sales in place, I believe the outlook is very promising as we exit these challenging times.”