Torotrak achieves increase in annual revenue

Torotrack, which manufactures transmission systems for vehicles, reported a 74 per cent rise in annual revenue to 7.5m pounds.

Torotrack, which manufactures transmission systems for vehicles, reported a 74 per cent rise in annual revenue to 7.5m pounds.

Profit after tax for the year ended March 31st 2013 came to £0.03m, compared to a loss of £1.6m a year earlier.

New Chief Executive Officer (CEO), Jeremy Deering, said the company's acquisition of Flybrid, which makes hybrid energy storage devices for F1 and mainstream vehicles, was a catalyst for growth.

The company spent £3.0m on a 20% stake in Flybrid with an option to purchase a remaining 80%.

Flybrid was already a technical partner, providing technologies to the Torotrack's mechanical kinetic energy recovery system (M-KERS) product line.

The firm expects to start manufacturing M-KERS units for the bus market from 2014.

Torotrack is in discussions with manufacturers about bringing M-KERS and variable engine product V-Charge to market for legislature in 2015 to 2020 for CO2 reduction.

Cash balances at the end of the period came to £8.9m, down from £10.5m in 2012, after making £3.2m of strategic investments, which also included the acquisition of the Motorsport Components business.

"With a pragmatic and diverse range of technologies, customers and partners; with our different routes to market and strategy to ensure we don't rely exclusively upon any one of them; and with a strengthening and confident Torotrak team, we are now in a better position than ever to deliver sustainable growth in value for shareholders," said Deering, who took over as CEO from Dick Elsy last September.

Shares rose 2.52% to 30.50p at 11:52 Wednesday.

RD

Recommended

Why it pays to face up to your investment mistakes
Investment strategy

Why it pays to face up to your investment mistakes

Buying stocks can be a complicated business. But selling stocks can be tricky, too – even if you sell for the right reasons. Max King explains how to …
17 Sep 2021
Share tips of the week – 17 September
Share tips

Share tips of the week – 17 September

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
17 Sep 2021
Royal Mail will deliver for investors – here's how to play it
Trading

Royal Mail will deliver for investors – here's how to play it

Royal Mail Group has found its feet in the past 18 months and looks cheap. Matthew Partridge looks at how to trade the shares.
14 Sep 2021
The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021

Most Popular

The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021
Two shipping funds to buy for steady income
Investment trusts

Two shipping funds to buy for steady income

Returns from owning ships are volatile, but these two investment trusts are trying to make the sector less risky.
7 Sep 2021
Should investors be worried about stagflation?
US Economy

Should investors be worried about stagflation?

The latest US employment data has raised the ugly spectre of “stagflation” – weak growth and high inflation. John Stepek looks at what’s going on and …
6 Sep 2021