Bodycote Q3 revenue up 17%, reiterates full-year guidance

Bodycote reported a jump in third-quarter revenue on Thursday as it reaffirmed its outlook for the year.

In the three months to the end of September, the provider of heat treatment and specialist thermal processing services generated £169m in group revenue, up 16.6% from the same period last year, or 12.9% at constant currency. Meanwhile, organic growth was 9.1% at constant currency, with 9.6% growth in the Aerospace, Defence and Energy business and 8.7% growth in the Automotive & General Industrial business. Year-to-date, organic constant currency growth was 6.2%.

In the civil aerospace business, organic growth revenue at constant currency was 3%, driven by growth in Western Europe. Bodycote said the recovery in the North American onshore oil & gas market began during the second quarter and continued during the period, while the overall growth of its energy revenues was 24.5% and defence revenues continued to decline.

The FTSE 250 company said it saw 8.3% growth in the car and light truck market, with strong growth in Western Europe and its emerging markets, while North American revenues were down. General industrial revenues were up 11% in all geographies against a weak comparable, with the strongest growth in Western Europe.

“Bodycote's performance in the period has been in line with the board's expectations and, accordingly, the group's outlook for the year as a whole remains unchanged.”