£88m profit at GKN
GKN has posted a pre-tax profit of £88m for the third quarter of 2010. The engineering business, based in Redditch, posted a profit of £37m in the same period last year.
Revenue at GKN was £1.34bn, up 21 per cent year-on-year from £1.1bn. This rise was largely driven by a sales increase in its automotive department (34 per cent), which includes driveline and powder metallurgy
However, net debt as of 31 September 2020 was £212m, up £10m from 30 June 2010. Exceptional items in the period include dividend payment (£23m), pension deficit contribution (£11m) and funding of its contribution to Emitec's acquisition of Grundfos NoNOx Holding A/S (£8m).
The company expects fourth quarter performance to be in line with the strong year so far, with stronger sales expected from its aerospace division.
It said: "The approval of US Congress for a four-year multi year purchase of F-18 aircraft and the proposed exports of F-15 aircraft and Black Hawk helicopters to Saudi Arabia are encouraging for GKN Aerospace's defence business, which is almost entirely through the US government."
"GKN continues to make excellent progress through 2010 and the strength of our market positions and healthy order books give confidence in our prospects for 2011 and beyond."
