Insider Media Limited

Building and engineering products company Alumasc has grown its revenues by almost £20m over the last year. The Kettering-based company said a growth in blue-chip customers and emerging market demand for construction and mining had helped strengthen its turnover.

Revenues for the year to 30 June 2011 stood at £106.8m, up from £87.5m in 2010.

Alumasc said its building products division had grown its turnover 10 per cent to £71.2m. However, operating profit in the division was down from £5.4m last year to £3.9m. The company said profitable growth in rainwater and drainage operations was offset by the lack of large commercial projects.

Alumasc's precision department experienced a 53 per cent sales boost, hitting £36.7m at the year-end.

Growth was driven by new work from blue-chip customers, emerging market demand and increased use of lightweight, recyclable aluminium components, said the company.

Over the coming year, Alumasc said it would focus on developing its sustainable building products and precision engineering businesses.

The company added that it wanted to grow its export division, as sales rose from 16 per cent of group revenues in the last financial year to 20 per cent in the year ended 30 June 2011.

In April, Alumasc's drinks dispensing business was sold to management for £1.2m, after the company said it wanted to focus on its core activities.

Paul Hooper, chief executive, said: "The recently strengthened management teams across the building products division are working hard to continue to grow the business in the face of challenging economic and market conditions.

"Alumasc Precision continues to grow, but this is anticipated to be at a more modest rate in the shorter term, prior to larger engine transmission systems coming on stream, expected in late 2012. In view of the current level of trading, with group order books which now total some £44m, the board expects Alumasc to make further steady progress in 2011/12."