Flowtech Fluidpower pumps out solid third quarter

Specialist technical fluid power products supplier Flowtech Fluidpower updated the market on its trading following its third quarter to 30 September on Tuesday, reporting that group revenue during the first nine months of the year was up 34.4%.

The AIM-traded firm said its “strong performance” was being driven by continued momentum across all business divisions, and further enhanced by the contribution from new subsidiaries.

On a divisional basis, revenue in flowtechnology for the year to date was ahead 6% at £28.33m, while power motion control revenue was 82% higher at £21.61m.

Revenue in the process division surged 126% year-on-year to £4.51m, making for total group revenue of £54.45m in the year to date.

Net debt stood at £12.1m as at 30 September, down from £15.7m at the same time last year.

“Since reporting our first half results and market update in early September the business has experienced a solid trading period which remains in line with market expectations,” Flowtech’s board said in its statement.

“Of note is organic sales growth in the third quarter … of 12.4%. “

It said the comparative quarter in 2016 reflected the period immediately following the June Brexit vote when markets and currencies softened, and as such a strong rebound was expected.

“However, it is pleasing to report that combined with this expected uplift we delivered further organic growth through a mixture of price increases and strong volume gains at consistent gross margins - this is further evidence that our multi-channel strategy is gaining traction.”