Goodwin (GDWN) Trading update summary

Refractory division performance

• Overseas refractory profits rose 19% year-on-year to £3.1 million for the period.

• UK powder operations were impacted by an 11-week planned maintenance and high precious metal prices, reducing demand.

• AVD Fire saw strong international demand for lithium-ion battery fire protection products, supporting growth potential.

• Combined profits from AVD Fire and Dupré Minerals increased 30% year-on-year to £1.0 million.

Technological division update

• Duvelco faced production constraints due to a mechanical issue, limiting output to 20% of plant capacity.

• Duvelco recorded a £1.7 million loss, mainly from asset depreciation, compared to a £592,000 loss last year.

• Polyimide presses intended for Germany will be relocated to the UK near Duvelco's plant.

Mechanical engineering division disposal

• Agreement reached to sell a substantial part of the Mechanical Engineering Division for up to £1.1 billion.

• Completion expected in Q1 2027, pending regulatory approvals; no UK corporation tax expected on the disposal gain.

• Board is considering mechanisms for returning a significant portion of net proceeds to shareholders.

• Goodwin Engineering Training School will transfer with the disposed business.