TT Electronics plc unaudited announced earnings results for the six months ended June 30, 2018. For the period, the company reported revenues of £194.2 million against £180.5 million a year ago. Operating profit was £7.7 million against £6.8 million a year ago. Underlying operating profit was £14.6 million against £10.9 million a year ago. Profit before tax was £7.1 million against £5.4 million a year ago. Underlying profit before tax was £14.0 million against £9.5 million a year ago. Profit from continuing operations was £7.1 million or 4.3 pence per diluted share against £3.9 million or 2.4 pence per diluted share a year ago. Profit for the period attributable to owners of the company was £7.1 million or 4.3 pence per diluted share against £8.3 million or 5.1 pence per diluted share a year ago. Net cash flow from operating activities was £11.3 million against £20.1 million a year ago. Purchase of property, plant and equipment was £4.5 million against £5.9 million a year ago. Development expenditure was £1.6 million against £0.8 million a year ago. Purchase of other intangibles was £0.7 million against £1.3 million a year ago. Revenue grew by 12% at constant currency and 3% organically, against a strong comparator.

The company provided tax rate guidance for the full year 2018. On cash flow, the company expects capex and development expenditure to be around 1.2x depreciation and amortization for the full year. The half year tax rate of 19.8% is the expected rate for the full year and cash tax payment should be around 90% of the P&L charge.