22nd Oct 2019 14:26
(Alliance News) - Flowtech Fluidpower PLC on Tuesday reported strong recent trading despite testing market conditions with the engineering firm delivering revenue growth in the first nine months of its financial year.
In the nine-month period to September 30, revenue has grown by 4.3% year-on-year to GBP87.3 million from GBP83.7 million. Flowtech said this was helped by a full contribution from fluid power services firm Balu, which it acquired for GBP10.2 million in March 2018.
In the Components division, revenue grew by 5.8% to GBP75.0 million from GBP70.9 million in the first nine months of last year. In the Services segment, revenue declined by 3.9% to GBP12.3 million from GBP12.8 million.
Flowtech said: "Our short-term focus is firmly on the delivery of sustained operational improvements, procurement benefits and wider group synergies; detailed plans to achieve these savings are currently being finalised with the main phase of implementation beginning in early 2020.
"We are confident that these actions, combined with our continued focus on working capital management, will deliver improved profit and cash performance. Notwithstanding the current difficult market conditions, the board remains confident in the group's strategy and the outlook for future growth remains positive."
Shares in Flowtech were 1.8% higher at 110.71 pence each in London on Tuesday afternoon.
By Eric Cunha; [email protected]
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