IMI plc, the global engineering group, today announces its preliminary results for the year ended 31 December 2010.
| 2010 | 2009 | % change | |
| Revenue | £1,911m | £1,792m | +7% |
| Segmental operating profit | £319.7m | £234.2m | +37% |
| Segmental operating margin | 16.7% | 13.1% | |
| Profit before tax – adjusted ¹ | £304.4m | £211.7m | +44% |
| – as reported | £306.1m | £186.2m | +64% |
| Basic earnings per share – adjusted ² | 66.3p | 45.8p | +45% |
| – as reported | 70.4p | 40.8p | +73% |
| Cash conversion ³ | 110% | 139% | |
| Dividend – Final | 17.0p | 13.2p | +29% |
| – Total for year | 26.0p | 21.2p | +23% |
1. continuing operations before exceptional items (restructuring, acquired intangible amortisation, financial instruments excluding the reversal of economic hedge contract gains and losses, and employee benefit curtailment – UK scheme) totalling a gain of £1.7m (2009: loss £25.5m)
2. continuing operations before the after tax gain from exceptional items totalling £0.5m (2009: loss £15.7m)
3. operating cash flow from continuing operations divided by segmental operating profit after rationalisation costs
Business highlights:
- Record profits, margins and earnings with operating margins of 16.7%, ahead of the Group’s historic long term objective of 15%
- Long term margin objective raised to 20% for our three Fluid Controls businesses
- Commitment to increase investment in sales and engineering resource to accelerate revenue growth
Norman Askew, Chairman of IMI, commented:
“IMI delivered a very strong set of results in 2010 with record profits, margins and earnings. We are now well placed for the next stage in the Group’s development and have detailed plans to accelerate growth, deliver further margin improvement and make greater use of our strong balance sheet in delivering value enhancing acquisitions.
In light of this performance, and our confidence in future prospects we are pleased to raise the final dividend by 29%.
We remain optimistic that the Group will continue to make good progress in 2011.”
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