Volex trades in line during H1

Critical power and data transmission products manufacturer Volex said on Wednesday that its H1 trading performance was in line with expectations, with revenues in excess of $510.0m.

Volex said its H1 showing had demonstrated "the continued resilience" of the company based on "strong relationships with blue-chip customers" across its five end-market sectors.

The AIM-listed group said constant currency organic revenue growth for the first half of the year was 9.7%, including a "substantial increase" in electric vehicle revenues and a return to revenue growth in consumer electricals. Complex industrial technology delivered "good growth", with a "strong increase" in high-speed data-centre products offsetting softer demand from industrial customers.

Medical revenues, on the other hand, were slightly lower against "a strong prior year comparative" which benefitted from a catch-up in the post-Covid supply chain.

"Volex delivered strong growth in the first half of the year, despite a challenging macroeconomic background. This is a testament to the group's strong positioning in specialist markets delivering critical connectivity for customers," said Volex.

"The group is benefitting from a diversification strategy targeting structural growth markets and leveraging strong customer relationships, and is well positioned to continue the current momentum through the second half of the year, with full-year expectations unchanged.

As of 1010 BST, Volex shares were up 3.50% at 323.96p.

Reporting by Iain Gilbert at Sharecast.com