Speakers from Touchstone Exploration, Shanta Gold, Savannah Resources and Kavango Resources feature in our Natural Resources webinar on May 25th. Please register here.

Less Ads, More Data, More Tools Register for FREE

Hill & Smith resumes dividends, eyes ramp-up in public sector spend on infrastructure

Wed, 5th Aug 2020 08:47

(Sharecast News) - Hill&Smith resumed dividend payments and sounded a confident note on the outlook despite a sharp drop in half-year profits.
The company's chief executive offer, Derek Muir said: "We are seeing a gradual recovery in trading and assuming that end markets continue to remain open, we expect a stronger performance in the second half. It remains likely that governments will stimulate their economies through additional or accelerated infrastructure spending, which the Group is well placed to benefit from in the remainder of 2020 and into 2021."

The manufacturer of engineered products for the roads and utilities markets posted an 8% decline in sales for the six months ending on 30 June on constant currency terms.

On an underlying basis meanwhile, the onslaught of Covid-19 saw profits before tax drop by 39% to £22.8m and earnings per share slide from 37.5p one year ago to 23.1p.

However, the group said it had witnessed improved trading since April, with organic sales and profits both higher in the US and all its divisions having remained profitable over the front month of the year.

The outlook for infrastructure remained positive as well, the company said in a statement.

Helped by "cash preservation actions", the firm's cash generation had remained "strong" too, resulting in a "robust" financial financial position with net of £195.4m at period end and with approximately £193m of facilities headroom.

Hence management's decision to resume payouts with an interim dividend of 9.2p.

More News

Lockdown ease boosts UK retail sales in April but food and drink slows

Lockdown ease boosts UK retail sales in April but food and drink slows

Today 05:07

SSE, Equinor plan new gas power plant with carbon capture in Scotland

May 11 (Reuters) - British utility SSE and Norwegian energy firm Equinor are jointly developing a new gas-fired power plant equipped with carbon capture technology (CCS) at Peterhead in Scotland, they said on Tuesday.The planned new 900-megawatt (...

Today 01:01

UK shoppers buy clothes for outdoor social life, holidays at home

LONDON, May 11 (Reuters) - British shoppers bought warm clothes to meet friends and family outdoors - part of a broader rise in retail spending last month as many shops re-opened - and people booked more summer holidays in the United Kingdom, sur...

Today 00:01

Non-hospitalised COVID patients have low risk of serious long-term effects -study

May 10 (Reuters) - Non-hospitalised COVID-19 patients have a low risk of serious long-term effects, but they report more visits to general practitioners following infection, according to a study published in The Lancet Infectious Diseases journal ...

10 May 21 23:35

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.