15th Jun 2016 07:38
LONDON (Alliance News) - Surface Transforms PLC on Wednesday said revenue for the year to the end of May met its expectations, and it said it made progress on contract talks with automotive manufacturers.
Surface Transforms, which makes carbon fibre-reinforced ceramic brake discs, said revenue for the year to the end of May was GBP1.4 million, up from GBP1.1 million for the prior year and in line with its expectations.
The sales growth was driven primarily by a 25% rise in sales to retrofit customers and 55% rise to original equipment manufacturers.
The firm has signed the lease for its new premises in Knowsley in Merseyside and has ordered equipment for the new factory at a total investment cost of GBP3.1 million, in line with budget.
The group also provided an update on progress made on five key contracts, two with UK carmakers and three with German automotive groups. On the two British contracts, one is due to start production in mid-2018 and the other is due to start in late 2019.
On the Germany deals, two of the manufacturers are due to start production in mid-2019, with the other due to start in late 2019.
Surface Transforms shares were up 0.9% to 17.4 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
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