Revenue grows 2.9 per cent at Bodycote

Bodycote, the world's largest thermal processing services provider, has reported revenue growth of 2.9 per cent in the four months to the end of October compared to the same period the previous year.

At constant currency rates (CER), this rose to 7.6%.

Sales in the Aerospace, Defence and Energy business were ahead by 14.4% (15.9% at CER), with organic growth at 10.4% and acquisitions adding 5.5%.

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In Western Europe, CER sales improved by 14.2%, all of which was organic, while in North America, revenues, at CER, grew 17.5% of which organic growth accounted for 7.1% and acquisitions 10.4%.

Further growth was seen in revenues from the commercial aerospace sector, while the defence sector remained stable. Sales into oil and gas customers continued to improve while industrial gas turbine demand was good in North America, but remained subdued in Europe.

In the Automotive and General Industrial business, revenues were lower by 5.2%, but at CER were ahead 1.8%, with organic sales lower by 2.9%. Sales from Western Europe fell 2.9%, compared to North America where organic revenues at CER climbed 6.5% and acquisitions added a further 32.2%. Emerging market revenues were weak in all territories.

At the end of October, net debt was £33.7m, compared to £16.7m at the end of June.

"Although trading remains volatile, the sales momentum we have seen in October and early November offers support for the remainder of 2012 and consequently the board's expectations for the year to December 31st 2012 are unchanged," the group said.

NR