AB Dynamics Hikes Interim Payout 10% As Profit And Revenue Jump

LONDON (Alliance News) - Automotive industry-focused testing firm AB Dynamics PLC hiked its ...

Alliance News 24 April, 2019 | 9:43AM
Email Form

LONDON (Alliance News) - Automotive industry-focused testing firm AB Dynamics PLC hiked its interim dividend Tuesday after profit and revenue surged, and it continued to experience strength in its order book.

For the six months ended February, pretax profit more than doubled to GBP6.3 million from GBP2.9 million the year prior. This was after revenue rose 69% to GBP25.8 million from GBP15.3 million the year before.

"I have been greatly impressed with the business during my first six months at ABD," Chief Executive Officer James Routh said. "ABD has outstanding technology, a market leading position with many long-standing blue-chip client relationships, and a committed and capable team."

AB Dynamics proposed a 1.612 pence per share interim dividend, up 10% from 1.465p the year prior.

"The active safety market continues to grow and develop, supported by long term structural and regulatory growth drivers," Routh added. "Today, we have set out how ABD will move forward through the next stage of its corporate development in a sustainable manner, leveraging the strengths of the business while making targeted investments to drive future growth."

"We have already made some initial progress toward these strategic objectives, which have contributed to what is a very positive financial and operational performance for the first half and which gives us confidence in the remainder of the current financial year," Routh continued.

AB Dynamics added that its order book "remains strong" with "full" visibility for financial 2019 and financial 2020. The firm also expanded its net cash position to GBP18.9 million from GBP12.9 million the year prior.

Shares in AB Dynamics were 9.2% higher at 2,085.00 pence on Tuesday.

By Ahren Lester; ahrenlester@alliancenews.com

Copyright 2019 Alliance News Limited. All Rights Reserved.

Email Form
Securities Mentioned in Article
Security Name Price Change (%) Morningstar Rating
AB Dynamics PLC 2,435.00 -
About Author Alliance News

Alliance News provides Morningstar with continuously updating coverage of news affecting listed companies.