Chemring set for steady growth from acquisitions and US orders

ARMS firm Chemring posted steady growth yesterday, with increased sales to the American military but a slowdown in European business.

The company’s order book grew by 16 per cent to £651m, translating to a seven per cent rise in underlying pre-tax profits to £42.3m, Chemring said in a half-year statement.

Several purchases dented overall pre-tax profits, down 15 per cent to £25.3m, but the firm expects new acquisitions Hi-Shear and Chemring Fuze Technology to deliver profits in the second half of the year and “secure continuing success”.

The company said in a separate statement that chairman Ken Scobie will retire at the end of September, to be succeeded by Peter Hickson.