16th Oct 2015 13:01
LONDON (Alliance News) - Technology investing company Vela Technologies PLC on Friday said its Revolve Performance Ltd portfolio company is trading in line with expectations, with weaker sales being offset by better margins.
Vela invested GBP50,000 in Revolve in June and has a minority stake in the business, which makes performance parts for cars.
It said, citing a trading statement issued by Revolve, that the company's trading in the eight months to the end of August was in line with its expectations, with weaker overall sales offset by improved margins and lower costs. Earnings before interest, taxation, depreciation and amortisation for the business came in ahead of budget, Vela said.
The Mountune Performance US unit showed strong growth in the period, while its UK arm struggled.
Vela said Revolve management expects earnings for the full year to be in line with expectations, with the early outperformance in 2015 to be offset by weaker final quarter sales.
Vela shares were down 8.7% to 0.169 pence on Friday afternoon.
By Sam Unsted; [email protected]; @SamUAtAlliance
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