Ventilation specialist Volution Group has seen a remarkable turnaround in fortunes since its float, according to results released yesterday.
The British company listed in June last year after previously being owned by a private equity group and reported a first half pre-tax loss in 2014 of £8m.
But since its float the company has found its room for manoeuvre greatly expanded, with a lower level of debt than before, the firm is aiming to push deeper into European markets with a string of acquisitions.
“We think central and eastern Europe will grow fast over the next few years”, said chief executive Ronnie George, adding the focus is on colder climate countries. The company is pushing hard to expand organically through acquisitions of local brands with good recognition, with a business model geared towards local production and distribution
“It’s about being able to transfer the product portfolio, we don’t just look at the strength of the local brand but what value we can add to it, this allows us to cross sell products”, said George.
Volution is also optimistic about the ongoing trends in the domestic construction sector, where ventilation is becoming more of an issue as houses become more contained and airtight. According to George, investment has been “a bit higher than usual” to meet capitalise on this trend.
The firm recorded an 11 per cent increase in revenues in the six months to 31 January at £64m and pre-tax profits of £7.5m, after recording a loss of £8m in the prior six months.