The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Robert Chantry - Berenberg - Analyst
: Hi. Morning, guys. Hope you're well. Three questions for me. Firstly, could you just give a bit more detail on the input cost pressures and moving
parts in terms of which regions have been most impacted, any hedging that you're able to do, any signs of easing or further pressure, et cetera?
Just some more color would be helpful.
Secondly, the margin evolution. Clearly, there's been some really strong like-for-like growth in the margin. Presumably, that's benefited from
operational gearing and the UK's strongest-ever level, 18%. Can you just comment a bit around what you view as sustainable on a base case level
of demand in the next few years for the different divisions?
And then finally, on CapEx, could you just comment on the base level of replacement and growth CapEx you're expecting on an ongoing basis?
We've been thinking about it broadly equal to depreciation pre-, post-IFRS 16 adjustments. Obviously, it's been moving around in the last few years
given COVID, et cetera, but some guidance there would be helpful. Thank you.
Question: Robert Chantry - Berenberg - Analyst
: Thank you.
Question: Richard Higginbotham - Cigna Capital Markets - Analyst
: Good morning, all. A couple of questions from me this morning. Firstly, on the acoustics investment, just wondering what the extent of the
opportunity is there and should we expect to see any further ingress into the commercial side of the equation?
And also, on selling prices, how should we view the selling price increases that you've put through? Are you broadly in the middle of the pack, so
to speak, or have you been investing in improving the competitive position of the product offerings?
Question: Richard Higginbotham - Cigna Capital Markets - Analyst
: Yeah, that's super -- thank you. What about on the ceramic side, if you would?
REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us
consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.
NOVEMBER 23, 2021 / 11:00AM, VCP.L - Half Year 2022 Victoria PLC Earnings Call
Question: Richard Higginbotham - Cigna Capital Markets - Analyst
: Okay, thank you very much.
Question: Robert Chantry - Berenberg - Analyst
: Hi, it's just me again. I've got a follow-up question on the Turkish acquisition. I was wondering if you could give some more detail on the potential
integration you talked about of capacity with the Italian and the broader ceramics business in terms of efficiency.
Do you see it becoming a low-cost manufacturing hub or is it just to provide extra capacity to Italy? Can you talk about how the strategic direction
of that business will change once it's within your business? Thanks.
Question: Robert Chantry - Berenberg - Analyst
: Perfect. Thanks, mate.
|
