Halma trading in line amid order intake growth

Halma said on Wednesday that its first-half performance was in line with board expectations, with order intake ahead of revenue and higher than the previous year.

The hazard detection specialist said all sectors delivered organic constant currency revenue growth in the six months ended 30 September, with the environmental & analysis side of the business performing best.

Organic constant currency revenue growth was also achieved across all major regions, with particularly good UK and US growth as a weak pound boosted results.

The FTSE 100 company said integration of its three new acquisitions, including fire and evacuation systems supplier Ampac Group, had progressed well, and that its "robust" financial position allowed for continued activity in its "healthy" acquisition pipeline.

Halma also confirmed three new board changes, with former Medtronic business unit vice president Laura Stoltenberg set to succeed Adam Meyers as chief executive of the medical & environmental sector from 1 October.

Elsewehere, Ruwan De Soyza has joined Halma in the newly-created board role of general counsel and company secretary, while Catherine Michel has been installed as chief technology officer and will have global responsibility for IT and digital architecture.

Chief executive Andrew Williams said: "Laura, Ruwan and Catherine have all demonstrated a strong understanding of Halma's unique operating culture and will work closely with our sector and company boards to help them achieve their growth ambitions."

Analysts from Shore Capital said it was a great quality business due to strong margins and long-term drivers such as health and safety regulation, healthcare demand in developing nations and demand for life-critical resources.

However, they reiterated a 'hold' rating as they said the valuation continues to look stretched after recent share price strength.

Halma shares were down 1.85% at 1,936.00p at 0807 BST.