6th Nov 2014 08:03
LONDON (Alliance News) - Cobham PLC on Thursday said trading in the first nine months of the year has been in line with its expectations, though it said further progress would be needed in the final part of the year to meet all of its engineering targets, but added it expects revenue growth to revive in 2015.
The FTSE 250 manufacturer said trading in the nine months to the end of September had been in line with its expectations, boosted by good order momentum in its short cycle businesses. It said it has made progress on meeting aerial refuelling engineering milestones in the year, but said its performance would have to continue in the remainder of the year to meet the rest of these targets.
The group said it is focusing on cost reduction across the business and expects to meet its targets for cost savings for the full year, with integration and rationalisation work to be substantially completed by the end of the year.
In line with its previous expectations, Cobham expects organic revenue to fall by low-to-mid single digits for the full year, dragged lower by the ongoing difficult conditions in defence and security markets but partially offset by a stronger commercial market performance.
The group does expect to generate mid-single digit organic revenue growth next year, on the back of a stabilisation in the US defence and security market, increasing revenue from non-US defence and security markets and continued growth in commercial.
Cobham said will post its results for 2014 on March 5, 2015.
By Sam Unsted; [email protected]; @SamUAtAlliance
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