Cambridgeshire-headquartered engineering group Avingtrans has seen revenues jumping past the £100 million milestone, with the business also returning to the black.
Avingtrans generated revenues of £105.5 million, up from £78.9 million 12 months prior to the year to 31 May 2019. The business also reported a pre-tax profit of £3.1 million compared to a loss of £4.5 million in 2018. Gross margin improved to 26.7 per cent from 25.5 per cent.
Avingtrans chairman Roger McDowell hailed the “record year” and said acquired companies were performing well. “The former Hayward Tyler Group (HTG) businesses performed very well in their first full year with the group and the Ormandy turnaround produced a solid, if modest profit in its first full year since acquisition in February 2018,” he added.
“The recent, tactical acquisitions of Tecmag, Texas; Booth, Bolton, UK; and Energy Steel, Michigan are all integrating well thus far.”
McDowell said Brexit and “tariff wars” are “unwelcome distractions” to Avingtrans. “But they will not cause us to deviate from our well-planned course,” he said.
“Despite the chill in the macroeconomic air, we remain quietly confident about our prospects in both energy and medical, with our strong balance sheet allowing us to be both agile and resilient. Recent order wins and our pipeline of opportunities underpin that outlook.”
As a result of its performance, Avingtrans has proposed an increased final dividend of 2.4p per share, bringing its total dividend to 3.8p, up from 3.6p.
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