15th Sep 2016 06:45
LONDON (Alliance News) - Electrocomponents PLC on Thursday said it now expects to report a big jump in pretax profit in its first half as it saw better-than-expected trading, given a boost from the weaker pound.
In a trading statement ahead of the release of its full interim results, the electronics distributor said it expects to report a pretax profit of around GBP54 million for the half year to the end of September, up from the GBP31.3 million it reported the previous year.
Electrocomponents now expects underlying sales growth of around 2% for the first half, helped by a stronger second-quarter performance to date as it saw a return to growth in North America, as well as better trading trends in Asia Pacific. Northern and Southern Europe have continued to see good growth, it said, which has helped offset some softness in Central Europe.
The company said it continues to make good progress in its plans to stabilise its gross margin, and it is confident in delivering at least GBP15 million in savings during its current year.
Electrocomponents will report its interim results on November 18.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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