Acal has reported a 4% year-on-year increase in gross profit for its electronics division in an interim management statement for the year ending 31st March 2012, which covers the period 1st October 2011 to date.
“The Group is making continued progress with growth in gross profits and margins, and remains on track to deliver full year results in line with management’s expectations," said Nick Jefferies, group chief executive.
"Whilst the economic conditions have been challenging during the period, we have managed our cost base tightly and reduced ongoing costs where appropriate," said Jefferies.
Jefferies said he is seeing improving manufacturing PMI data as well as some signs of better economic conditions internationally.
"We are in a strong position to benefit from any recovery in our European markets. The Group will continue to focus on strong organic development and expects to see further opportunities for value enhancing acquisitions," said Jefferies.
The roll-out of a new web platform is on track and expected to begin after the summer period.
"The development of the new website will create a leading platform for engineers to search, learn about and find specialist technologies and products on-line, and aims to put further distance between us and our smaller competitors," said Jefferies.
Trading in the Supply Chain division continues to be stable, with ongoing margin improvement. The division has recently won a significant new contract with an international IT hardware provider to manage the processing and provision of spare parts. This will become active during the next financial year.
In October Acal acquired MTC Micro Tech Components in Germany for £3.1m.
