(Sharecast News) - Turnaround specialist Melrose Industries performed in line with expectations during the four months ended 31 October, leaving the group confident in its ability to unlock "significant further shareholder value".
Melrose said on Tuesday that improvements in its businesses were being delivered at pace, with aerospace achieving sales growth of over 5% year-on-year and once again outperforming the board's expected long-term average growth rate.
In automotive, Melrose delivered a higher profit and margin than when compared to the same period of the previous year but sales were down 5% year-on-year as a result of the temporary effect of the General Motors strike in the US.
Powder metallurgy was impacted proportionately more than Automotive by the temporary effect of the General Motors strike, which led to a sales decline of 13%, while Nortek Air & Security witnessed improving year-on-year trends compared to those seen in the first half of the year and achieved modest sales growth.
Net debt was said to be in line with expectations.
Chairman Justin Dowley said: "Melrose continues to do what it has always done well: improve businesses.
"Some macro conditions could be more helpful, but this has not stopped us continuing to transform the GKN businesses, delivering another trading period in line with expectations, and achieving better trends than seen in the first half of the year."
As of 0830 GMT, Melrose shares were up 1.67% at 226.11p.
Melrose (MRO)2 May 2024 16:07
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