Automotive supplier narrows losses

Manufacturer Autins has seen a significant improvement in margins, as its benefitted from price, material and improved labour productivity that offset cost pressures.

The Rugby firm saw its losses after tax decrease in the first half of the year to £900k in comparison to £1.38m in the same period last year.

Revenue was up by 15% to £10.84m as well as gross profit increasing by 30% to £3.06m.

CEO Gareth Kaminski-Cook says job losses, operational improvements and “smarter” material sourcing has “positively impacted performance”.

It expects recent workforce salary increases to partially offset actions taken during the period.

Kaminski-Cook said: “Whilst margins have improved, it is clear that the business now needs more volume. Although the automotive supply chains have stabilised somewhat, market recovery is expected to remain modest into the medium term.

“This is partly due to the economic backdrop, but also because of the limited number of new vehicle models being launched by our major customers at this time. The focus within the management team will continue to be on winning new business and managing costs and margins”.