The Company adopted formally the Quoted Companies Alliance’s (QCA) Corporate Governance Code for small and mid-size quoted companies (the “Code”) on 17th August 2018. Hardide complies with the 2018 QCA Code and is reviewing the revisions to the Code made in 2023 with the objective of maintaining compliance.
Hardide’s full Corporate Governance Statement the (‘Statement’) is published on this website. Below are the key points from that Statement that the QCA guidelines require to be set out separately on the Company’s website. Out of the 10 principles, this is required for principle 2, 3, 7, 8, 9 and 10; together. The Statement has more detail on each principle and the linkages between them, as well as setting out more of the reasoning for the Company’s governance rules.
The Board has considered how each principle is applied and provides below an explanation of the approach taken in relation to each and how they support the Company’s medium to long-term success.
Compliance with the 2018 Code was last reviewed in January 2025 and we intend to adopt the revised Code in FY25.
Our strategy and business model are set out in our latest Annual Report.
Considerable success has been had recently in diversifying the company’s customer and sector base and, after many years of development and achieving necessary approvals, the Company is close to making significant sales to major players in the aerospace industry.
A completely new and potentially very large sector is in the power generation industry; initially with steam and gas turbines. So far, Hardide’s technical development of coatings for this application have progressed well, but final specification may still take a couple of years. In this project, our marketing efforts are enhanced by keen interest from EDF and with several turbine manufacturers. This powerful ‘push-pull’ marketing is in place in another of Hardide’s market sectors and we are seeking further opportunities to deploy it.
Hardide is a niche player in the world of engineered hard coatings and, apart from having facilities in the UK and the USA, has no facilities in many areas of the world where customers use such coatings. In order to expand Hardide’s geographic footprint, the Board’s strategy is to do so by way of collaboration with larger coatings companies through technical and commercial cooperation, or joint ventures.
Being central to its activity, the Company’s intellectual property portfolio is substantial and very carefully managed and protected. The recent granting of a patent for the turbine blade application has ‘re-lifed’ many aspects of previous patents. This is a very valuable development.
Equal in importance to registered IP, is the knowledge embedded in the Company’s operating procedures and staff as to how the Hardide coating process is operated and controlled.
Shortly after full- and half-year results, presentations are made by the CEO and the Finance Director to significant shareholders, supported by the Company’s financial PR company and brokers. Presentations are also made at various investor events which are usually published on the Company’s website. Normally, but not always, the Company Chair will attend these presentations so as to appreciate first-hand the concerns or interests that shareholders may have.
The Chair keeps in regular contact with and, as appropriate, meets major shareholders during the year. Shareholders wishing to make contact with the Chair, CEO or Senior Independent Director (‘SID’) may contact them by email or contact the Company and advise that they wish to speak to any of the aforementioned directors. Feedback from shareholders is carefully considered and acted upon where appropriate.
At the Annual General Meetings (‘AGM’) of the Company, shareholders attending are invited to ask questions as part of the formal proceedings and then afterwards on a one-to-one basis in an informal setting.
Shareholders may contact the Company by calling +44 1869 353830 or emailing [email protected].
The most important resources held by the Company are its skilled employees, its intellectual property, customer approvals and relationships with customers, suppliers, and its loyal shareholders. Intellectual property in the form of technology development and patents are monitored, rigorously managed and protected by management’s IP committee.
The form or manner of the coating is different for each application and the lead time to sales can be several months or years and sometimes very much longer. During this period, strong and enduring customer relationships are built and visits to customers are often made by the Technical Director and/or CEO.
The CEO holds monthly staff briefings where staff can ask questions and air their opinions and concerns. Feedback from the business development managers on market and customer comments is presented regularly to the whole Board. All staff have regular performance reviews.
The Company takes its health, safety and environmental obligations very seriously and fully complies with and is accredited to, the international environmental standard ISO14001. External audits of both the environmental and health & safety systems are undertaken twice per year.
The Strategic Report in the Company’s latest Annual Report includes the Board’s most recent risk evaluation.
The Company’s risk management system is performed in accordance with the principles of ISO standards, particularly ISO 9001:2015 and ISO 14001:2015.
This principle is addressed in the Company’s latest Corporate Governance Statement. The time commitment of each director is listed in their biographies on the website. Each executive director is contracted on a full-time basis. Whilst contractually bound to one day per month, the time committed by each non-executive director (‘NED’) amounts to at least two days per month for the NEDs and at least twice that for the Chair.
The biography of each director is published on the website. The Chair along with the Board believe they have sufficient skills and experience to undertake their roles effectively. The skills required and training of directors is under constant review and training is provided as needed.
A review of the Board’s performance, led by the Chair, takes place annually. The conclusion of the most recent review can be found on page 31 of the latest Annual Report using this link and also in our Corporate Governance Statement using this link.
The Board aims to promote and maintain a culture of integrity across all businesses within the Group.
The Group’s policies, including anti-bribery and whistleblowing policies, are communicated to all new employees upon joining through a formal induction process and are contained in the Employee Handbook. This is accessible to all employees either in written or electronic formats. Employees are required to re-affirm their adherence to these polices on a regular basis.
An open culture is encouraged within the Group, with regular communications with employees regarding progress and business updates. Employee feedback is encouraged through line management and monthly team briefings delivered by the CEO.
The Group places significant emphasis on developing people, continually evaluating employee performance and supporting training requirements through a flexible appraisal process, which will add value to the business and its medium- to long-term goals.
The Group is committed to corporate social responsibility. This includes equal opportunities in recruitment and employee development, diversity in the workplace, human rights, health and safety and supporting local and associated communities.
As part of the accreditation to aerospace standard AS9100D, the Company has a responsibility to be alert to the possibility of suspect or counterfeit components and will report any such event to the relevant authorities.
The Group recognises the importance of its environmental responsibilities and operates in accordance to ISO14001:2015 as well as additional internal policies and procedures. Initiatives designed to minimise the Group’s impact on the environment include minimising and recycling of waste, reducing CO2 emissions, minimising any discharges, including to air and water, and use of low energy lighting. The health and safety of the Group’s employees, customers and members of the general public is a matter of primary concern. The Group operates a Health and Safety Committee that meets monthly to monitor, review and make decisions concerning health and safety matters. Accordingly, it is the Group’s policy to manage its activities so as to avoid causing any unnecessary or unacceptable risk to the health of its employees and members of the public. The policy is based on the requirements of national employment legislation in the countries where the Group operates.
The role of the Company’s non-Executive Chair is to:
The principal features of the CEO’s role are to:
The role of the SID is to be:
The Company has three standing Board committees. They are: Audit, Remuneration and Nomination. The Terms of Reference for these Committees are on the Company website.
Matters reserved by the Board and the associated delegated authorities may be found on the Company website.
All shareholders are invited to make use of the Group’s AGM to raise any questions regarding the management or performance of the Company.
Available on the Company’s website are;
considerable further information about the company’s markets, products and strategy.
