Strong results for engineering group

Engineering group Renew has reported a rise in revenue and profit as it continues to grow its position in its target markets.

For the year to the end of September 2017, the AIM listed West Yorkshire-based engineering services group reported group adjusted profit before tax of £25.2m, up 13.1% (2016: £22.3m) and revenue of £560.8m, up 6.7% from £525.7m in 2016.

The group’s engineering services division’s adjusted operating profit increased 16.7% to £25.1m (2016: £21.5m).

The group’s order book at 30 September 2017 was £511m (2016: £516m), with the engineering services order book up 4% to £438m (2016: £421m).

Renew said its net cash position is £3.9m (2016: net cash £4.8m) after purchase of Giffen Holdings for £7.2m during year.

The board said it expects to have no bank debt by March 31 2018.

Board Changes were also announced this morning, with chairman Roy Harrison announcing his retirement from the board at the end of January.

David Forbes, current non-executive director, will take over the role.

Harrison said: “I am pleased to report another strong set of results positioning the group well for the financial year ahead. The board is confident that Renew will continue to grow its position in its target engineering markets whilst delivering further strong financial results.”

The board is proposing a final dividend of 6.0p per share, increasing the full year dividend by 12.5% to 9.0p

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