press notice

Back to press notices

Tuesday 3rd September 2002

BBA GROUP PLC

INTERIM RESULTS FOR THE HALF-YEAR ENDED 30th JUNE 2002

Interim results (continuing operations)

  • Sales up 5 per cent to £706m (2001: £675m)
  • Normalised PBT* £69.0m (2001: £71.3m), significant improvement over H2 2001 of £52.5m
  • Earnings per share* 10.2p (2001: 10.7p).
  • Interim dividend maintained at 3.1p (2001: 3.1p)
  • Major improvement in free cash flow. 2002 inflow £48m (2001: inflow £8m)
  • Aviation Services: Strong recovery after September 11th, with profits below comparable period but 34% ahead of second half of 2001.
  • Materials Technology: underlying sales growth of 2 per cent, margins at 14 per cent
  • New contract wins in both divisions
  • Strategic acquisitions of £38m announced

* Before goodwill amortisation and all exceptional items.

Commenting on the results, Roy McGlone, BBA Group Chief Executive, said:

"After a difficult year in 2001, due to poor global economic conditions and the effects of September 11th, we are pleased to be able to report that trading in the first half of 2002 was in line with our expectations. This reflected the benefits of the actions we took last year to reduce costs and strengthen our portfolio. Both of our divisions have performed well with Aviation recovering strongly from the difficulties encountered at the end of last year and Materials Technology returning to growth. Free cash flow for both businesses continues to improve and this has contributed to a reduction in debt since last year-end. We have made a number of strategic bolt-on acquisitions this year as we continue to add to our network of bases in both business and commercial aviation. These acquisitions have been financed from internally generated cash. We were also pleased to win a number of important new contracts during the period.

"BBA has two high quality businesses which are world leaders in their markets. We are well positioned to capitalise on opportunities to strengthen our activities further."

Enquiries

Roy McGlone, Chief Executive, BBA Group, (020) 7514 3999
Andrew Wood, Finance Director

Mike Smith, Brunswick Group, (020) 7404 5959
Catherine Bertwistle

If you would like to read more, download this PDF (312kb)