Revenues surge at Surface Transforms

Revenues at Surface Transforms, the Knowsley-based high performance brakes manufacturer, has climbed 137%.

The company, which makes brakes for high performance cars and aircraft, reported revenue increase to £2.9m for the six months ending June 30, that’s up from £1.2m for the same period last year.

The increase has been driven by sales to OEM (original equipment manufacturer) customers, with a significant increase in development revenue to these same customers.

During the six-month period, Surface Transforms commenced production with OEM 8, Aston Martin Valkyrie and Koenigsegg Jesko, the volume effects of which will be seen in H2-2022.

It was also awarded a new contract with OEM 8 having a contract value of £100m, replacing the previous contract valued at £27.5m

Contracted sales order book is now approximately £190m in addition to a prospective contract pipeline (PCP) of around £400m.

During the period gross profit increased 129% to £1.7m, up from last year’s £700,000.

Loss before tax widened to £2.5m from £2.2m.

Chairman David Bundred said: “2022 is the point at which the hard work of the past decade is being successfully converted to company profitability.

“The company is now in series production with three OEMs whilst at the same time both winning new contracts and significantly expanding the PCP.

“We continue to maintain profitability guidance for 2022 and are upgrading guidance for the following 3 years.

“Our £190m order book is complemented by a £400m PCP. The near-term issue is capacity, whilst maintaining sufficient resilience and the Board is currently modelling options to address this.

“These are exciting times for Surface Transforms.”