LONDON (ShareCast) - (Sharecast News) - AB Dynamics reported solid trading momentum for the six months ended 28 February on Tuesday, with revenue expected to rise 11% year-on-year to around £58m.
The AIM-traded firm said the performance was supported by strong contributions across all three of its business sectors, in line with the board's expectations.

Order growth remained robust, particularly in the Asia Pacific and North America geographies, helping to strengthen the company's order book and provide visibility into the second half.

Cash generation also met expectations, with the group reporting net cash of £27.2m at period-end.

That figure, the board said, reflected the initial £4.2m payment for the acquisition of Bolab Systems during the period.

The company said it was well-positioned to pursue both organic growth and value-accretive acquisitions.

Management was targeting 10% annual organic revenue growth and an adjusted operating profit margin approaching 20% over the medium term.

Despite broader economic and geopolitical uncertainties, AB Dynamics said it was confident in delivering its upgraded full-year profit expectations.

Long-term growth prospects were underpinned by structural demand for active safety systems, vehicle automation, and autonomous technologies, where the group maintained a strong position as a market and technology leader.

Interim results for the first half were said to be published on 23 April.

At 1053 GMT, shares in AB Dynamics were up 2.35% at 1,903.72p.

Reporting by Josh White for Sharecast.com.

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