Brammer plc - Interim Management Statement
Key Account SPWD in constant currency terms were up 25.6% overall, with good growth in food and beverage (up 21.7%), automotive (up 43.1%), and metals (up 41.9%). Key Accounts now represent 39% of sales. Four new pan-European Key Accounts were won in the period, with total potential annual revenues of around €30 million in the longer term. Base business SPWD growth was a pleasing 14.1%.
Our cross-selling initiatives have delivered good results, with fluid power up 24.8%, and tools and general maintenance up 28.1%. Bearing sales were up 16.4%, whilst overall non-bearing sales were up 18.5%.
Gross profit margins have been maintained at similar levels to last year, and we have continued to improve inventory turns. Net debt remains in line with our expectations.
Outlook
May has started well and we expect to achieve further strong sales growth as a result of market share gains during the rest of this year. We believe all of our markets are now in growth and that our rate of market share gain has increased. We are confident that our long term strategy of focusing on Key Accounts, Insites and cross-selling throughout Europe to drive profitable market share gains remains sound and that Brammer will continue to enjoy growth levels significantly ahead of the market.
Enquiries: Brammer plc - 0161 902 5572
David Dunn, Chairman
Ian Fraser, Chief Executive
Paul Thwaite, Finance Director
Issued: Citigate Dewe Rogerson Ltd - 020 7638 9571
Martin Jackson / Kate Lehane
