Last checked at 
LONDON (Alliance News) - MS International PLC, the AIM-listed engineering products and services firm, on Friday said it built on the "good progress" made in the first half of its financial year, reporting that pretax profit rose to GBP1.7 million from GBP1.5 million in the 52 weeks ended April 30.
Revenue rose to GBP49.3 million in the recent year from GBP45.5 million the year earlier, driving profit higher. MS International maintained its final dividend at 6.5p per share. That kept the total for the year at 8.0p.
The progress came "notwithstanding recessionary conditions in the global industrial manufacturing and heavy engineering sector which progressively deepened as the year unfolded," Chairman Michael Bell said in a statement.
MS International's results for the first half, published in December, showed that pretax profit rose to GBP395,000 in the 26 weeks ended October 31 from GBP71,000 the corresponding half the prior year.
Its defence business continued its recovery with a "satisfying upward trajectory" in revenue. "This was most encouraging following the previous two years when we endured widespread constraints upon international defence budgets that resulted in a disappointingly subdued order intake and ensuing weaker revenues," Bell said.
Meanwhile, investment in defence products, facilities and personnel development "continued unabated", with "positive signs" that MS International is beginning to reap the rewards of this important commitment, the chairman said.
The company's forgings business - which manufactures on three continents producing a complete size-range of original equipment fork-arms for the forklift truck, construction, agricultural and quarrying equipment manufacturing industries - experienced a "most challenging time", the chairman said.
According to Bell, "many markets" the forgings business serves were hit by the "sheer scale of deepening recessionary conditions".
"As a consequence, the division's three business operations in the UK, US and Brazil had to contend with reduced weekly orders and revenue. Nevertheless, relentless tight control of costs and further investment in production efficiency drivers went some way towards countering the negative effects of the slowdown," Bell said.
MS International's petrol station superstructures business - which designs, manufactures and constructs petrol station canopies, convenience stores and car-wash buildings across the UK, Ireland and Eastern Europe - also suffered a "notable downturn" in activity.
Many customers, such as the major oil companies, dealers and supermarket groups, deferred planned new build programmes, Bell said.
"By contrast, Petrol Sign BV, acquired in June 2015, produced an exemplary performance emanating from an incredibly busy year restyling petrol station branding in mainland Western Europe. This success partially offset the effects of the slowdown on other parts of the division," the chairman said.
Overall, Bell said, MS International now has some "very positive initiatives in place". Even amid the "difficult" trading environment, the chairman said "much is being achieved and some very interesting opportunities are opening up".
Shares in MS International were untraded on Friday at 183.00 pence.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
Copyright 2016 Alliance News Limited. All Rights Reserved.
