Melrose sees revenue top the £1bn mark
INDUSTRIAL turnaround specialist Melrose Industries has seen its revenue more than double to top the £1bn mark.
Announcing its results for the six months to June 30, the Warwickshire company reported revenue of £1.02bn, a massive increase over 2012’s £466.2n figure.
Profit before tax has also more than doubled, up from £65.9m in 2012 to £139.4m.
And yet back in May the firm warned this would not be a year of significant growth for the business.
However, the comparative period for 2012 does not include results from German smart metering business Elster which was acquired last August.
Melrose has also benefited from the proceeds of two sales.
Truth, its window and door hardware business, was sold in July for £134.6m and Marelli Motori, a manufacturer of industrial electrical motors and smaller generators, was sold in August for £176.9 m.
Melrose bought Elster last year in a £1.5bn deal and it said that business is performing well. Its operating profit of £91.2m is up by more than a third year on year.
Melrose said it is achieving the acquisition target two years ahead of plan.
Company chairman Christopher Miller said: “Elster is fast proving to be another great acquisition with profit already up by over a third. We have achieved our original target for improving margin two years quicker than expected and more plans are underway.
“With the excellent progress achieved at Elster and substantial shareholder value being created from disposals, 2013 is looking like it could be a very successful year.”
