ANNUAL REPORT 2022
DRIVING INNOVATION AND PERFORMANCE
MINCON CONTENTS
BUSINESS AND STRATEGY
Corporate Profile Chairman's Statement
Chief Executive Officer's Review Strategy of the Group - Business Model and Strategy Strategy of the Group -
2 6 10
14
Principal Risks and Uncertainties Chief Financial Officer's Review
16 20
GOVERNANCE
Board of Directors 32
Key Management 35
Directors' Report 36
Directors' Statement on Corporate Governance 42
Audit Committee Report 48
Nominations Committee Report 51
Remuneration Committee Report 54
Environment & Sustainability Report 57
Statement of Directors' Responsibilities 58
Corporate Responsibility 60
FINANCIAL STATEMENTS
Independent Auditor's Report 66
Consolidated Income Statement 75
Consolidated Statement of Comprehensive Income 76
Consolidated Statement of Financial Position 77
Consolidated Statement of Cash Flows 78
Consolidated Statement of Changes in Equity 79
Notes to the Consolidated Financial Statements 80
SEPARATE FINANCIAL STATEMENTS OF THE COMPANY
Company Statement of Financial Position 116
Company Statement of Changes in Equity 117
Notes to the Company Financial Statements 118
Mincon Group Plc ("the Company" or "the Group") is an Irish engineering Group with its shares trading on the AIM market of the London Stock Exchange and the Euronext Growth Market.
Directors:
Hugh McCullough - Non Executive Chairman (Irish)
John Doris - Senior Independent Non-Executive Director (Irish)
Pirita Mikkanen - Independent Non-Executive Director (Finnish)
Patrick Purcell - Non Executive Director (Irish)
Paul Lynch - Non Executive Director (Irish)
Joseph Purcell - Chief Executive Officer (Irish)
Thomas Purcell - (Regional Executive - Americas) (USA)
Company Secretary:
Barry Vaughan (Irish)
Registered Office:
Smithstown Industrial Estate, Shannon, Co. Clare, Ireland
Nominated Adviser, Euronext Growth
Adviser and Broker:
Davy, 49 Dawson Street, Dublin 2, Ireland
The Company specialises in the design, manufacture, sale and servicing of rock drilling tools and associated products. The Company's strategy is to increase its share of the global rock-drilling consumables market through organic growth and acquisitions. Its manufacturing facilities are located in Ireland, the UK, Finland, the USA, South Africa, Canada, Sweden and Australia. The Company also maintains a network of sales and distribution companies in a number of international markets to provide after sales support and service to customers.
Joint Broker:
Shore Capital, Cassini House, 57 St James's Street, London SW1A 1LD, United Kingdom
Legal advisers to the Company:
William Fry, 2 Grand Canal Square, Dublin 2, Ireland
Auditor:
Grant Thornton Chartered Accountants & Statutory Audit Firm, 13-18, City Quay Dublin Docklands, Dublin, Ireland
Registrar:
Computershare Investor Services (Ireland) Limited Heron House, Corrig Road, Sandyford Industrial Estate, Dublin 18, Ireland
Principal Bank:
Allied Irish Banks plc, Shannon, Co. Clare, Ireland
Company Website:
www.mincon.com
Ticker Symbols:
Euronext Growth: MIO.IR AIM: MCON.L
MINCON CORPORATE PROFILEMINCON GROUP FOUR GLOBAL REGIONS
Americas Region
Europe and Middle East Region Africa Region
Australia Pacific Region
These regions are being led by regional VPs - proven leaders with Mincon, each with a history of working effectively and collaborating within the Group.
EME EUROPE & MIDDLE EAST REGION
CHAIRMAN'S STATEMENT
I am pleased to present this report to our shareholders, reflecting on another year of growth and development. It has been a particularly turbulent period, reflecting the gradual emergence from Covid lockdowns, extraordinary increases in the cost of raw materials and energy, continuing supply chain disruptions, and negative commercial impacts arising from the war in Ukraine. I believe that the strength of Mincon's technical offering, together with the professional competence of our service team in the field, has allowed us to continue to grow in adverse circumstances.
Notwithstanding the difficult conditions, we increased our revenue by 18% to €170 million in 2022. Our EBITDA increased by 10% to €27.5 million and our profit after tax by 1% to €14.7 million. Whilst these results may be creditable in the context of the prevailing market conditions, we are conscious of the need to achieve a greater delivery to the bottom line in the form of improved earnings per share and return on capital employed, and we will concentrate on improving those metrics during 2023.
Despite the current global commercial and financial uncertainties, exceptional companies will continue to thrive and grow, and I believe that Mincon is one of those companies. The Mincon Group is established as The Driller's Choice because of our superior technical and innovative technology, coupled with our unsurpassed after sales service. We have experienced the difficulties arising from the major delays in sea freight schedules and the increased costs of freight. Some of the issues have abated somewhat, but material, energy and labour costs are still significantly higher than they were twelve months ago. Notwithstanding these headwinds, we have continued to grow our revenues and to expand our global footprint. In particular, our future expansion will be in our higher margin, technically innovative products, such as the Greenhammer system, large diameter piling solutions and our novel system for anchoring offshore wind turbines to the seabed. These are the products that will set us apart from our competitors.
Despite the difficult conditions prevailing in the global markets right now, we don't expect any significant changes in the mining sector. There will always be a need for the materials currently being mined, although the focus may change somewhat from time to time. Our drilling tools operate effectively and efficiently in virtually any mining environment and we will continue to provide the after sales service in the field that assists in the continuous improvement of our products.
One of the biggest areas of opportunity arising today is the development of technology to facilitate the switch from fossil fuels to sustainable energy sources. To avail of the opportunities presented by the transition we are currently working on the development of a patented anchoring system for offshore wind turbines. We are developing this system in conjunction with our partners in Subsea Micropiles Limited.
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Mincon Group plc published this content on 22 March 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 March 2023 07:27:05 UTC.