Tuesday, 3 August 2010

Aerospace group Meggitt seeing signs of recovery

Aircraft parts supplier Meggitt (LON:MGGT) predicted civil and military aviation sales will increase in the second half as it reported a 3 per cent rise in first half profits.

"Leading indicators continue to improve and order intake from the beginning of the second quarter has shown a steady increase," chief executive Terry Twigger told investors.

"Civil revenues should return to growth later in the second half on the back of the improving order intake."
His comments echo those of Boeing and in particular Airbus, which upgraded its revenue forecasts last week.

Pre-tax profits advanced to £116.2 million on the six months to June 30 from £122.3 million a year earlier. Sales, meanwhile, dipped marginally to £549.7 million from £586.4 million.

The interim dividend rises 6 per cent to 2.85p a share.

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