Melrose confident on outlook

Industrial turnaround group Melrose reported a nine per cent increase in revenue for the first half yesterday, after completing the £1.5bn acquisition of manufacturing group Elster. Melrose, which buys underperforming manufacturing businesses, turns them around and sells them, recorded increased revenue of £564.6m, up from £516.6m over the first half of last year. The firm, whose pre-tax profits dropped to £46.3m in the first half from $58.9m over the previous year thanks to a £23.8m charge related to acquisitions, said it was confident for its future prospects, as its businesses trade in “sound end markets”.