Hill & Smith Holdings says it has delivered a performance in the first half of 2011 in line with the outlook given at the time of the full-year results in March.
Interim (unaudited) figures released by the UK-based international group, which designs, manufactures and supplies infrastructure products and galvanizing services to global markets, show that to 30 June, 2011, revenue was £195.1 million compared to £193.5 million for the same period in 2010, a 0.8% increase.
The underlying profit before tax was £16.2 million (£21.5 million) a decrease of 24.7%.
Net debt increased to £113.9 million, compared to the year-end level of £70.6 million, mainly due to acquisitions including The Paterson Group, which positions Hill & Smith Holdings for growth in global power generation markets, and ATA, which provides entry into Scandinavian roads market.
The group, which serves its customers from facilities principally in the UK, France, USA, Thailand, Sweden and China, says it had a good performance from galvanizing services in the USA and France with over 69% of operating profit now generated from international operations, although there were challenging and highly competitive conditions in certain key infrastructure markets, particularly in the UK
The group exited from building and construction products leaving it wholly focused on infrastructure products and galvanizing services, the two higher added value divisions.
A new five-year £210 million banking facility enhances financial flexibility and underpins growth strategy.
Derek Muir, chief executive, said: "Whilst we enter the second half of the year with a strong order book in our utilities business, greater international diversity and with the benefit of the recent acquisitions, the board remains cautious given the difficult economic conditions and competitive pressures in certain of our markets. Against that background, we are clearly focused on managing the business and its cost base very tightly, taking proactive measures where necessary."
Interim (unaudited) figures released by the UK-based international group, which designs, manufactures and supplies infrastructure products and galvanizing services to global markets, show that to 30 June, 2011, revenue was £195.1 million compared to £193.5 million for the same period in 2010, a 0.8% increase.
The underlying profit before tax was £16.2 million (£21.5 million) a decrease of 24.7%.
Net debt increased to £113.9 million, compared to the year-end level of £70.6 million, mainly due to acquisitions including The Paterson Group, which positions Hill & Smith Holdings for growth in global power generation markets, and ATA, which provides entry into Scandinavian roads market.
The group, which serves its customers from facilities principally in the UK, France, USA, Thailand, Sweden and China, says it had a good performance from galvanizing services in the USA and France with over 69% of operating profit now generated from international operations, although there were challenging and highly competitive conditions in certain key infrastructure markets, particularly in the UK
The group exited from building and construction products leaving it wholly focused on infrastructure products and galvanizing services, the two higher added value divisions.
A new five-year £210 million banking facility enhances financial flexibility and underpins growth strategy.
Derek Muir, chief executive, said: "Whilst we enter the second half of the year with a strong order book in our utilities business, greater international diversity and with the benefit of the recent acquisitions, the board remains cautious given the difficult economic conditions and competitive pressures in certain of our markets. Against that background, we are clearly focused on managing the business and its cost base very tightly, taking proactive measures where necessary."
