Melrose Mergers and Acquisitions Presentation Deck
Foreign exchange forward looking
Melrose
Exchange rates
Average rates
Closing rates
Income Statement volatility - Translational impact
Impact on adjusted¹ operating profit of a 10% strengthening² of:
£m
USD
EUR
5
Movement in adjusted¹ operating profit
% impact on adjusted¹ operating profit
I
→
■
25
1.
Buy
Improve 2.
Sell
3.
6%
1%
HY 2022
USD
1.30
1.22
CNY
8
2%
EUR
1.19
1.16
Other³
10
2%
HY 2021
USD
1.39
1.38
EUR
1.15
1.16
Increase in debt
Transactional FX hedges taken out to provide appropriate short and medium-term cover:
Next 12 months: c.90% covered
12 to 24 months: c.60% to 80% covered
FY 2021
USD
1.38
1.35
Balance Sheet volatility
Impact on debt of a 10% strengthening² of:
£m
USD
EUR
1.16
1.19
Described in the glossary to the 2022 Interim Financial Statements and considered by the Board to be a key measure of performance
10% strengthening against all currencies
Assuming all other currencies strengthen against Sterling by 10% at the same time
83
EUR
Group debt drawn in UK, US and Euro currencies to protect leverage, based on a mix of approximately 52% USD, 26% EUR and 22% GBP
40
45View entire presentation