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Manufacturing & engineering

Halma rises as sales surpass £1bn for the first time

The FTSE 100 group enjoyed growth across all sectors and regions in the year just gone, while trading in the first few months of its new fiscal year has also been “positive”

Health and technology group Halma PLC (LON:HLMA) saw sales climb past the £1bn mark for the first time in its history last year.

The FTSE 100 firm, which makes everything from smoke detectors to devices used in eye surgery, posted a record set of results for the year ended 31 March 2018, driven by an “outstanding” performance in its environmental and analysis division.

Double-digit sales and profit growth

Adjusted pre-tax profits jumped 10% to £213.7mln (2017: £194.0mln) on revenues of £1.08bn – a 12% year-over-year increase (2017: £961.7mln).

Halma has completed another successful year, achieving record results while increasing strategic investment as part of an enhanced growth strategy,” said chief executive Andrew Williams.

“Halma's market and geographic diversity, combined with the agility of our business model, will be important assets as accelerating technological and geopolitical change continues to impact individual regions and industries.”

The company spent £116mln on five acquisitions last year which provided a minor tailwind and said its “strong cash generation and robust balance” meant it would look to make some more additions in the future.

39th year of 5+% divi hike

Halma raised its final dividend by 7% to 14.68p (2017: 13.71p) – the 39th consecutive year of a dividend increase of 5% or more.

CEO Williams added that the group has got off to a “positive” start in the opening few months of its new fiscal year.

“Trading since the last financial year end has been positive, with order intake ahead of the order intake last year and revenue this year. We expect to continue to make progress in the coming year.”

Shares opened 3.1 higher at £14.66 on Tuesday.

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