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Goodwin PLC on Tuesday welcomed a ‘significant’ rise in half-year profit and highlighted the potential for its radar business.
Pretax profit climbed 38% to £16.7 million in the half-year to October 31 from £12.1 million a year prior. Revenue rose 9.0% to £106.4 million from £97.6 million.
The Stoke-on-Trent-based engineer said the forward order book stands at £296 million, up 11% from £266 million.
‘The significant growth in profitability and order book, both of which have more than doubled over the past three years, is primarily driven by the foundry and machine shop’s success in securing and delivering high-integrity products for the nuclear decommissioning and naval vessel markets,’ Goodwin said in a statement.
In response, shares in Goodwin jumped 11% to 7,495.00 pence on Tuesday morning in London.
Looking ahead, whilst a similar level of activity for the group is expected for the second half of the year ending April 30 2025, Goodwin said the ‘long-promised’ future growth for Easat Radar Systems is now ‘coming to fruition’.
‘The radar business has signed a significant contract to supply two additional turnkey surveillance systems to an existing Airforce customer based in Southeast Asia, which will return the company to profitability,’ the firm noted.
In addition, Easat is in the final stages of signing two further contracts to supply its proven state-of-the-art primary and secondary surveillance system, further enhancing profitability over the short to medium term.
Within the Refractory Engineering division, a stable level of profitability is expected from core products.
For the newer growth products, interest and momentum continue to grow despite alternatives entering the market.
No dividend was declared.
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