Halma sees jump in 1H profit and sales, growth in all regions

Halma posted a surge in first half revenues following the acquisition of two companies, despite which the company's net debt position remained low.

The safety equipment manufacturer said that sales jumped 19% over the six months ending on 30 September versus a year earlier, to reach £875.5m.

Adjusted earnings were up 11% to £171.7m or 35.65p per share, with strong growth reported in all sectors and regions - including in organic and constant currency terms.

"We saw strong demand for our companies' products and services in the period," group chief Andrew Williams said.

"Our order book is exceptionally strong, having grown from the record level seen at the start of the year. Order intake remained ahead of both revenue and the very strong order intake in the comparable period last year."

On a statutory basis, profit before tax fell 13% to £145.5m and earnings per share by 15% to 30.39p.

That however was the result of a gain on a disposal during the comparable year earlier period of £34m.

Absent that gain, statutory profit rose 9%.

Net debt nearly doubled from £274.8m to £499.6m.

Three acquisitions had been carried out financial year-to-date, two of which were done in the first half, for a consideration of £238m.

Yet net debt as a proportion of earnings before interest, taxes, depreciation and amortisation stood at just 1.2 times at period end.

The interim dividend per share was hiked 7% to 7.86p.

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