Flowtech Fluidpower boosts revenue and earnings in first half

Flowtech Fluidpower posted its half year report on Tuesday, with group total revenue up 28% at £27.39m.

The AIM-traded firm said of that, flow technology revenue rose 3% to £18.09m, and power motion control revenue improved 110% to £8.268m.

It was the first report which included process revenue, which stood at £1.03m.

Its board claimed gross profit of £9.55m, up 33%, underlying operating profit of £4.06m, a 19% increase, and operating profit of £3.29m, 9% higher than a year ago.

Flowtech Fluidpower declared a half-year dividend of 1.84p, up 5% year-on-year, with earnings per share also up 5% at 5.91p.

The company was in significantly more debt over last year, however, with the figure on 30 June standing at £14.1m, compared with £7.5m on 30 June 2015.

“Flowtech remains confident in its ability to execute its proven strategy to develop in its technically specialised sectors in the UK and internationally,” said CEO Sean Fennon.

“The company is recognised as a skilled and resilient business operating in a fragmented fluid power distribution market.”

Fennon said that, in addition to organic sales growth, there remains a number of opportunities to enhance the company’s multi-channel approach.

“[Through] investment in people and increased sales resource, the ongoing development of Exclusive Brand and OEM product offering, as well as through earnings enhancing acquisitions.”