Halma hikes interim dividend as FTSE 100 safety equipment group enjoys an upturn in profit and strong order book
- Halma has posted a surge in first half revenues following acquisitions
- The company’s interim dividend per share was hiked 7% to 7.86p
British technology group Halma has posted a surge in first half revenues following the acquisition of two companies.
The safety equipment manufacturer said sales swelled by 19 per cent over the six months ending 30 September against a year ago, to reach £875.5million.
Adjusted earnings were up 11 per cent to £171.7million or 35.65p a share, with strong growth reported in all sectors and regions, including in organic and constant currency terms.
Surge: Halma has posted a surge in first half revenues and hiked its interim dividend
‘We saw strong demand for our companies’ products and services in the period,’ boss Andrew Williams, said.
‘Our order book is exceptionally strong, having grown from the record level seen at the start of the year. Order intake remained ahead of both revenue and the very strong order intake in the comparable period last year.’
The company’s interim dividend per share was hiked 7 per cent to 7.86p.
On a statutory basis, profit before tax fell 13 per cent to £145.5million, and earnings per share by 15 per cent to 30.39p.
That, however, was the result of a gain on a disposal during the comparable period last year of £34million. Excluding that gain, statutory profit rose 9 per cent.
The group’s net debt nearly doubled from £274.8million to £499.6million.
Three acquisitions had been carried out financial year-to-date, two of which were done in the first half, for a consideration of £238million.
In June, Halma reported a 20 per cent rise in annual profit and announced its chief executive officer Andrew Williams would retire next year after 18 years at the helm.
Statutory profit before taxation rose 20 per cent to £304.4million, and its earnings included a one-time gain of £34million from the sale of electronic security systems provider Texecom.
Back in June, Halma also said it expected to maintain high returns in the 2022-23 financial year and a return on sales similar to the second half of the 2021-22 financial year.
CFO Marc Ronchetti will take over from Andrew Williams as chief executive in April. Prior to his appointment at Halma, Gunning was most recently CFO of British Airways parent International Airlines Group.
Halma shares fell today and were down 3.87 per cent or 91.00p to 2,258.00p this morning, having fallen over 27 per cent in the last year.