Tyman's profits climb after locking down acquisitions

Tyman's shares crept upward on Tuesday after the company saw annual profits and revenues increase and said it was well placed to deal with current market uncertainties.

For the year ended 31 December, the door and window component specialist reported profit before tax of £38.9m, an increase of 13% compared to the year before, after revenue jumped by 13% to £591.5m and increased by 3% on a constant currency basis due to the assistance of four acquisitions.

A statement from the AIM traded company said that each of the acquired businesses have "bedded in well", with Ashland and Zoo delivering notably strong performances in the period under the group's ownership.

The strong performance of the Zoo acquisition helped to drive the ERA hardware unit to a significantly improved performance despite "challenging market conditions", with targeted price increases, operational efficiencies and procurement savings ensuring that the business ended the year with positive momentum.

Louis Eperjesi, chief executive of Tyman, said: "The UK market is likely to remain subdued in 2019; however ERA will continue to focus on further share gains, new product introductions with an emphasis on smartware, realising synergies from the acquisitions of Profab and Zoo along with management of costs and overheads."

Meanwhile, the SchlegelGiesse division delivered strong revenue growth as it was aided by the acquisition of Reguitti, which sells door handles and accessories, while AmesburyTruth recorded revenue growth after completing the transfer of its manufacturing from its Amesbury, Massachusetts, and Rochester, New York, facilities to a new centre in Statesville, North Carolina.

Tyman had cash and cash equivalents of £51.9m at the end of the period, up from £42.6m at the same point the year before, while it increased its dividend per share by 7% to 12p per share.

"Despite current market uncertainties, the group remains well positioned to build on the progress made over the last nine years and to deliver sustainable profitable growth going forward," said Eperjesi.

Tyman's shares were up 4.71% at 251.82p at 1128 GMT.