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(Alliance News) - CT Automotive Group PLC on Monday reported strong financial results following a post-pandemic recovery in the automotive market.
The Portsmouth, England-based company is a designer, developer and supplier of interior components to the global automotive industry
CT Automotive shares were up 18% to 66.00 pence each in London on Monday morning.
In 2023, the company swung to a pretax profit of GBP5.9 million from a loss of GBP18.8 million the year prior.
Revenue rose 15% to USD143.0 million from USD124.3 million.
Chief Executive Officer Simon Phillips said: "Our markets re-opened in 2023 after a pro-longed hiatus relating to the Covid pandemic. As a result, our business bounced back strongly and quickly into profitability.
"We grew the business, raised new capital and reset our financial position. The improved market and successful fundraise allowed our business to flourish in the second half and we used this period to drive new cost efficiencies across the business."
Profitability, which was bolstered by the efforts to reduce costs, further benefitted from production efficiency measures and automation.
The USD9.6 million proceeds from the fundraise helped reduce the company's net debt by 69% to USD3.8 million from USD12.2 million the previous year.
So far in 2024, the company said trading has been in line with expectations and CT Automotive is on track for improved profitability at the years end.
Although management has identified going concerns including the risk of inflation costs as well as another downturn in the market due to the challenging macroeconomic environment.
The company continues working towards reducing its costs and is currently in the advanced stages of securing a longer term debt facility to replace existing working capital facilities.
By Elijah Dale, Alliance News reporter
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