Bodycote returns to the black

28th Jul 2010 07:57

Engineering firm Bodycote swung back into profit as demand for its products picks up while full year expectations remain the same.The group reported a pre-tax profit of £19.1m for the six months ended 30 June 2010 compared to a pre-tax loss of £53.1m the same time a year before. Revenue for the period increased by 8.1% to £246.3m. Commenting on the results chief executive Stephen Harris said, "The work undertaken so far in reshaping the business and improving management effectiveness is delivering the benefits expected.""The overall environment is less harsh than twelve months ago, but the general economic recovery still appears to be at an early stage. In the near term and in the second half in particular, tight operational control remains key," he added.Sales in the second half are likely to be lower than in the first half due to the seasonal pattern of customer requirements, it said. The board's expectations for the full year have not changed since its last trading update, assuming that current levels of demand are sustained and allowing for normal seasonal differences."Against this background, the board is confident that execution of the group's strategy will deliver superior shareholder returns over the medium term," Bodycote said.The interim dividend has been held at 2.95p.