Chamberlin PLC (AIM:CMH) posted its first net profit for five years as benefits from a wide-ranging restructuring programme offset supply chain disruption and raw material price rises.
The group said it had also been able to absorb the initial marketing costs incurred in establishing e-commerce businesses Emba cookware and Iron Foundry Weights.
“This reduction in losses was driven by substantially improved operating profit from RDC and Petrel and the benefits from the rationalisation of the cost base at Chamberlin & Hill Castings and the Group's head office undertaken at the end of the previous financial period,” said the statement.
Chamberlin added it expects to post a profit in the second half of the year and to start to utilise £4mln of built-up tax losses.
Keith Butler-Wheelhouse, chairman, added: "Chamberlin is now well placed to deliver profitable growth in the second half, driven by a new strategic direction into expanding markets across all our businesses."
Interim revenue fell to £8mln (£11mln) with a drop at BorgWarner (NYSE:BWA) offset by growth at Russell Ductile Castings and Petrel and initial revenues from e-commerce.
Net interim profits were £102,000 against a loss of £662,00.
Shares jumped 20% to 7.63p
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