Avingtrans set to beat expectations

17th Jan 2011 14:21

AIM-quoted engineer Avingtrans says that it will exceed expectations in the year to May 2011. That is due to a strong second half helped by an improvement in aerospace demand. Industrial markets have also strengthened more quickly than expected, particularly in Germany. The medical market has not recovered as much as the company's other main markets but Jena Tec has won a three-year contract to supply ballscrews to a European medical equipment manufacturer. Shipments start in the third quarter of 2011. House broker FinnCap has increased its profit forecast for 2010-11 from £1.1m to £1.5m. The shares are trading on just over 13 times prospective 2010-11 earnings. FinnCap has upgraded its profit forecast for 2011-12 from £1.7m to £2.2m.