Renold PLC (AIM:RNO) saw its shares gain just over 10% in Monday morning’s trade after reporting a strong performance for the twelve months ended 31 March, ahead of its results statement, due in July.
The company, in a statement, said it now expects its underlying trading profit and margin to be materially ahead of its previous upgraded market expectations.
Renold highlighted that its fourth quarter benefitted from continued momentum from its first nine months, with revenue for the year reaching £247.1mln – up 26.6% year-on-year, and 18.8 on constant exchange rates.
Group order intake totalled £260.3mln, an improvement of 16.3% (9.1% at constant currencies).
The acquisition of ‘Industrias YUK S.A.’ helped boost turnover, it noted, with the unit contributing £12.7mln, equating to 4.9% of total order intake.
Renold said its order book ended the financial year at £99.5mln, up from £84.1mln this time last year.
Net debt reduced to £29.8mln at the end of March, from £34mln at the half year-end.
The company said it has significantly strengthened its financial position in the past three years, allowing it to support strategic growth objectives through further operational investment and value-accretive acquisitions.
In London, Renold shares gained 2.59p or 10.4% changing hands at 27.49p valuing the company at £61.8mln.