3rd Mar 2014 09:46
LONDON (Alliance News) - Manufacturing group Senior PLC Monday reported a fall in profit for the full year, as last year's resulted were boosted by discontinued operations.
The Hertfordshire-based firm posted pretax profit of GBP83.8 million for 2013, down 3.3% from GBP86.7 million, as revenue rose to GBP775.1 million from GBP729.8 million a year earlier, following a number of acquisitions during the year.
Senior said last year's results benefited from a GBP3.3 million profit from discontinued operations compared with nil in 2013. Overall, pretax profit from continuing operations increased to GBP83.8 million for 2013, up from GBP83.4 million a year earlier.
Adjusted pretax profit, which includes discontinued operations and excludes one-time acquisition and disposal costs, came to GBP98.1 million, up 7.7% to GBP91.1 million
The aerospace division - which represents 65% of group revenue - performed particularly well, with revenue rising to GBP506.6 million from GBP476.2 million. Senior said the aerospace market remained very strong during 2013 with orders coming in from Airbus and Boeing.
The division was also boosted by a number of acquisitions including aerospace components manufacturer, Thermal Engineering Holding Limited, for GBP28.3 million. Thermal specialises in manufacturing hot- and cold-formed components, complex fabricated assemblies and thermal insulation heat shields and systems.
Senior said its Flexonics division, which targets the medium and heavy duty diesel engine markets in the US, saw revenue rise to GBP269.3 million from GBP241.7 million a year earlier, buoyed by sales to the truck and off-highway market which increased 37%.
During the period, the company also acquired Atlas Composites, a developer of structural composite solutions for the Formula 1 and aerospace markets, in a deal worth GBP2.4 million.
Financially, the firm's net debt fell to GBP59.2 million from GBP70.9 million, leaving it well placed to fund future organic and acquisitive growth.
Looking ahead, the firm said 2014 has started "satisfactorily" and, with the large commercial aerospace market remaining strong and some early signs of an economic recovery taking place, progress is expected to be made across the its operations this year.
However, it warned that "volatile foreign exchange movements add more uncertainty to the reported group outcome for the year".
The company raised its final dividend to 3.60 pence from 3.27 pence bringing a total dividend of 5.12 pence from 4.65 pence.
The stock was trading at 283.00 pence Monday morning, down 4.60 pence or 1.6%.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
Copyright © 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
Senior