Brakes group remains on track for EBITDA and pre-tax profit targets
Surface Transforms, the Knowsley-based ceramic brake manufacturer, announced strong revenue growth for the six months to June 30, today.
The business, which makes brakes for high performance cars and aircraft, issued a trading update for the period.
It revealed that revenues grew 55% to £902,000, compared with £581,000 in the same period a year ago.
This revenue growth was achieved despite the impact of COVID-19 on the company and its customers.
Cash at June 30, was £2,018, compared with £770,000 in December 2019, to which can be added the R&D tax credit, in excess of £300,000, expected in September 2020.
The company said it expects to report its interim results for the six months ended June 30, 2020, in September 2020.
Surface Transforms updated shareholders on progress with customers and operations in the recent statement issued on June 22.
It said it is encouraging to report that since that date all key customer personnel have now returned from furlough and with unchanged objectives for the contract opportunities for the company.
Chairman David Bundred said: “This sales performance is most encouraging against the background of the most difficult economic conditions in recent memory.
“The combination of this performance and our most recent customer discussions enables the company to reiterate the key outlook statements made in the 22 June 2020 announcement.
“The company remains on track to reach positive adjusted EBITDA in 2021, report a profit before tax in 2022, and still expects to make further new contract announcements during 2020.”
Surface Transforms said it will stage an investor presentation on July 24, after its AGM, when chief executive Kevin Johnson will provide an online presentation on the business which will be open to all existing, and potential, shareholders.
