28th Oct 2020 10:53
(Alliance News) - IMI PLC said Wednesday that overall trading in the third quarter were "somewhat better" than previous expectations following a surge in sales within its ventilator business.
The Birmingham-based specialist engineering company said revenue for the third quarter ended September 30 were, on an organic basis, 1% lower compared to the year prior and, when including the impact of foreign exchange movements and acquisitions, flat on an adjusted basis.
IMI enjoyed a surge in sales within its ventilator business of GBP40 million. The company now estimates the full year effect of the surge will be a one-off revenue benefit of GBP85 million, versus the expectation of GBP70 million reported in July.
IMI said good progress is being made with the group's strategic restructuring initiatives to deliver a "fundamentally less complex business which is fit for growth".
IMI remains on-track to deliver its targeted 2020 structural savings of GBP30 million.
IMI said that based on current market conditions, the "resilient" trading of the third quarter, and no significant escalation of coronavirus-related disruption, its now expects a full year adjusted earnings per share of between 74 pence and 78 pence, slightly up from last year's 73.2 pence.
IMI shares were up 0.8% at 1,074.00 pence each in London on Wednesday.
By Greg Roxburgh; [email protected]
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