TT trading profitably since May

20th Aug 2009 14:34

Recovery play TT Electronics advanced Thursday after it said some of its markets are showing signs of stabilising. The sensor and electronic component technology group reported a loss before tax of £3.9m, excluding exceptional items, in the first half of 2009 compared to a pre-tax profit of £15m a year earlier.Revenue from continuing operations declined to £237m from £292m a year earlier. Despite reduced volumes, the group said it has been trading profitably since May.Net debt at the end of the reporting period was lower at £100m compared to £113.2m at the end of 2008 and the company said it continues to trade well within its banking facilities and covenants.'While there is no sign of any sustained upturn as yet, some of our customers are now beginning to re-order after a period of significant destocking. We remain cautious for the short term and are making good progress in implementing the initiatives identified in the Strategic Review,' said John Newman, executive chairman of the company.Unlike last year, when it paid 3.69p, no interim dividend has been proposed this time round.