Dewhurst expects second half earnings to pick up after weak start

Dewhurst, a supplier of components to the lift, keypad and transport industries, said it second half earnings would pick up in its traditionally stronger second half, after a weak start to the year.

For the year to 30 September, the company said that recovery continued through to the fourth quarter and while seasonal effects mean the company's second half is traditionally tougher than the first half, the effect this year was greater than usual.

For the first half of the year, it had reported a 6% fall in revenue to £21.3, with pre-tax profit decreasing by 24% to £1.7m.

A significant proportion of the AIM-listed company's sales and earnings are generated in foreign currencies and the depreciation of sterling during the year had boosted profits.

Revenues for the year are expected to exceed £47m with a positive impact on profits compared with current market expectations.

Shares in Derwent were up 0.21% to 2,440p at 1052 GMT.