Gamble of the week: Profit with this UK exporter

Demand for this company's niche materials is driving record profits, says Paul Hill. A buy for the adventurous investor.

During 2008-9, demand collapsed and UK exporters were forced to slash costs. But three years on, with greater pricing power and leaner structures, profits are hitting record levels.

Take Morgan Crucible. In 2011 it turned in its best performance in a 155-year history on the back of soaring demand from China, Latin America and India. Its niche materials are incorporated into a whole host of applications ranging from military body armour, rail traction systems and hard-disc drives, to medical devices, power generators and aircraft parts.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

Paul gained a degree in electrical engineering and went on to qualify as a chartered management accountant. He has extensive corporate finance and investment experience and is a member of the Securities Institute.

Over the past 16 years Paul has held top-level financial management and M&A roles for blue-chip companies such as O2, GKN and Unilever. He is now director of his own capital investment and consultancy firm, PMH Capital Limited.

Paul is an expert at analysing companies in new, fast-growing markets, and is an extremely shrewd stock-picker.