AB Dynamics performs 'strongly' during H2, completes Bolab acquisition

AB Dynamics expects full-year revenue to exceed £110.0m and with robust margin performance through the second half, full-year adjusted operating profits were projected to come in ahead of current market expectations of £17.3m to £18.8m.

The AIM-listed group stated its testing products unit has continued to experience "strong demand", with good growth in driving robots and ADAS platforms, while revenue in its simulation business also showed a modest increase, with a number of simulator system deliveries in the second half of the year.

AB Dynamics also announced it has completed its acquisition of Stuttgart-based automotive power electronics testing products business Bolab for an initial cash consideration of €5.0m, supporting the expansion of its capabilities in its testing segment and further aligning it with growth drivers in the sector. The maximum consideration payable for Bolab was €11.0m.

AB expects the acquisition to be earnings enhancing in FY25, with annualised revenue forecast to be approximately €4.0m and adjusted operating profit forecast to be approximately €800,000.

As of 1100 BST, AB Dynamics shares were up 3.25% at 1,987.50p.

Reporting by Iain Gilbert at Sharecast.com