Meggitt sees 2013 revenue growth

Aerospace components engineer Meggitt said revenues grew modestly in the first quarter of 2013 and it continues to expect mid-single-digit revenue growth for the year.

Growth is expected to accelerate in the second half, reflecting the anticipated recovery in civil aftermarket, it said.

Meggitt delivered a positive set of results in 2012, despite a slowdown at its civil aftermarket and uncertainty around defence budgets worldwide, with revenue up ten per cent in the year.

Civil aerospace and military businesses performed well, and the energy businesses jumped 45%, the FTSE 100 group explained.

Proforma revenues, excluding the effect of M&A, grew by 6%. As a result, the group which provides high performance components and sub-systems for aerospace, defence and energy markets, achieved underlying profit before tax growth of 12%, and underlying EPS growth of 13%.

Underling its confidence in future trading the full year dividend was raised by 12%.

During the year Meggitt largely completed the integration of Pacific Scientific Aerospace, increasing its run-rate synergy target to $25m per annum by 2014.

Meggitt said its financial position remains very strong, and expects further improvement driven by its focus on cash generation.

CJ