Senior sees full-year at top end

19th Oct 2009 10:32

Shares in Senior rallied after the aerospace and auto parts supplier said a stronger than expected third quarter contribution from its Flexonics division means that results for the full year are now expected to be towards the top end of current market forecasts.Overall, trading during the third quarter was healthy with the adjusted profit before tax coming in ahead of the boards expectations.Senior said it also continued to benefit from actions taken by management to reduce the group's cost base at the end of 2008 and beginning of 2009. Cash generation has been strong with net debt at the end of September, of £123.3m, being well below the £174.5m at the start of the year.'Whilst Senior's end markets are expected to remain challenging, the group is strongly cash generative, well financed for the long term, and continues to benefit from the diversity of the markets in which it participates,' Senior said.'Further, the group is expected to benefit from the significant content it has on the Boeing 787 and Joint Strike Fighter programmes, as well as from the growing need for environmental solutions in the land vehicle and energy markets. Consequently, the long-term prospects for the group remain encouraging.'