Bodycote plc (LON:BOY) today announced audited results for the year ended 31 December 2018.
· Revenue growth of 6.7% at constant currency
– Specialist Technologies delivered double digit growth of 12%
– Emerging Markets growth of 21%
– Civil aviation revenues up 8%
· 12% growth in headline operating profit to £138.3m
· Return on sales improvement to 19.0% (2017: 18.0%)
· ROCE increased to 20.5% (2017: 19.3%)
· Free cash flow of £97.4m (2017: £83.0m), after expansionary capex of £44.1m
· Headline operating cash conversion at 93%6
· Full year ordinary dividend 19.0p, up 9%
· Special dividend of 20.0p
Commenting, Stephen Harris, Group Chief Executive said:
“2018 has once again demonstrated the strength of Bodycote’s strategy and business. We achieved double-digit growth in Specialist Technologies’ revenues, an excellent performance in our Emerging Markets and robust growth in civil aviation revenues.
“Combined with pricing discipline in the face of significant cost pressures, the Group was able to improve return on sales. Together with the revenue growth this delivered a healthy increase in headline earnings per share. Our performance is testament to the Group’s resilient operating model, with our focus on cashflow generation, operational efficiency and improving returns.
“While we are conscious of the global macro-economic backdrop, we have entered 2019 well positioned and at this early point in the year, our expectations for 2019 remain unchanged.”