TT Electronics profit slips, upbeat outlook

20th Aug 2013 08:02

TT electronics revealed weaker pre-tax profit for the half year but said recent trading had been encouraging.Profit before taxation fell to £8.9 from £11.0m for the six months ended June 30th. Revenue increased to £261.0m from £247.2m. Operating profit was hit by reduced sales in Components and ongoing investment for future growth, the group explained.However on an upbeat note TT Electronics said recent trading has been encouraging after a difficult start to the year for its Components business.The group said it is confident that the focus on Sensing and Control will drive growth and improve overall operating margins to achieve the stated target of 8% to 10% by 2015. Chief Executive Geraint Anderson said: "The group has reported a resilient first half performance with trading improving in the second quarter and a positive order book trend." Reflecting confidence in prospects for the business, the interim dividend has been increased by 6.7%. CJ