According to its Interim Management Statement for the period 1 April-27 July 2010, Umeco group revenue for the quarter ending 30 June 2010 was 3.9% higher than the same period last year (3.4% higher in constant currency terms). For its three business groups this comprises constant currency revenue growth of 6.8% in Composites – Structural Materials, and 26.3% in Composites – Process Materials, offset by a decline in Supply Chain of 4.3%.
Umeco Composites – Structural Materials specialises in the development, manufacture and supply of advanced composite materials. Structural Materials’ revenue growth in the quarter reflects improving conditions in the aerospace market.
Umeco Composites – Process Materials focuses on the development, manufacture and supply of vacuum bagging materials to the composites industry and other markets. This business has benefited from the wind energy market recovering more rapidly than anticipated and from higher demand levels from the civil aerospace sector.
Umeco Supply Chain provides distribution and supply chain outsourcing services to customers in the aerospace and defence market. The small decline in this business primarily reflects a continuation of previously reported weakness in European civil aftermarket demand, exacerbated by comparison with a strong performance in the same period last year.
Outlook
Umeco notest that orders for 555 civil aircraft were announced by Airbus and Boeing at the Farnborough International Airshow in July. This was ahead of expectations and bodes well for prospects in the civil aerospace market.
Umeco says it has been encouraged by the rise in order intake enjoyed in the quarter, particularly within its Composites operations. It expects the group’s trading performance for the six months to 30 September 2010 to be broadly consistent with the six months to 30 September 2009.
