Engineering and steel castings firm Goodwin has reported strong growth in profits but has restricted its dividend to allow for greater investment.
In the 12 months to the end of April, pre-tax profits at the Stoke headquartered firm were £12.3m an increase of 51% on 2010/11.
Revenues for the full year came in at £107.9m, up 16.15% on the prior year.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
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
The dividend has been announced at 32.082p per share, a rise of 10% on the previous year, with the Chairman, JW Goodwin, explaining this caution will help the firm invest create a "much larger" apprentice training pool, expand the foundry and develop two super nickel alloys for use in high temperature gas and steam turbines.
The market clearly buys the story, the shares were up 6.3% at 11:26.
BS
-
Rents rise at slowest pace for four years – is buy-to-let still worth it?Slowing rental growth and higher property taxes are creating a headache for landlords. Does buy-to-let still offer a good yield?
-
Should you bag a bargain with a half-price investment trust?Twenty-six investment trusts look cheap by historic standards, with some trading at a discount of more than 50%. Are they a bargain or value trap?
