Record annual results for Alumasc as new factory ready for 2018
BUILDING PRODUCTS firm Alumasc has reported record annual results and said its Timloc housebuilding products division is on track to move into a new factory in Goole early next year.
Alumasc has plans to move to a new 89,000 sq ft facility in the East Yorkshire town as Timloc expands its UK market coverage amid strong demand for new houses.
The firm said group revenues rose 14 per cent to £104.8m in the year to June 30, reflecting strong export sales growth, together with continued growth in the UK.
Operating margins in the second half recovered to the previous year‘s levels of 9.2 per cent after absorbing over £1m of additional material costs during the year, mainly arising from the depreciation of sterling.
The group’s Housebuilding & Ancillary Products division reported a 12 per cent increase in revenue to £9.6m, reflecting Timloc’s success as it branches out into the South East, South West, South Coast and Scotland.
The group’s chief executive, Paul Hooper, said: “Our order books and the level of specifications and enquiries in the pre-order pipeline remain strong across the group.
“The board is conscious of the wider economic and political uncertainties at the current time. Nonetheless, in view of the strategic positioning of our building products businesses in specialised growth markets and the significant further opportunities for international development at Levolux and Gatic, we believe Alumasc can continue to perform well in 2017/18 and beyond.”
Analyst David Buxton at FinnCap said: “Minimal changes to forecasts leave the shares trading on an attractive P/E of 8.0 times and yield of 4.9 per cent.”