4th Apr 2019 08:23
LONDON (Alliance News) - Electrocomponents PLC said Thursday it remains on track to deliver a rise in annual adjusted pretax profit in line with expectations, based on solid revenue growth.
The FTSE 250-listed electronics and industrial products distributor reported like-for-like revenue growth of 8% for the financial year to the end of March, following a strong performance in all regions. The fourth quarter alone saw the same 8% like-for-like growth.
Like-for-like revenue in the Europe, Middle East & Africa and the Americas regions grew by 9% in the full financial year, while the Asia Pacific saw an increase of 6%. In the fourth quarter alone, revenue growth in similar terms was 10% in EMEA, 6% in the Americas, and 3% in Asia-Pac.
Electrocomponents said it has continued to outperform underlying market growth, and expects a stable gross margin in its base business for the year.
The company said it has acted to protect its service levels amid the UK's planned exit from the EU, including an investment of GBP26 million in inventory in faster-moving product lines.
"We continue to take opportunities to invest to differentiate customer experience and to build a lean and more scalable business capable of generating sustainable growth and superior returns," Electrocomponents said in a statement.
Shares in Electrocomponents were up 2.0% at 609.00 pence on Thursday.
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