Ricardo profits bounce back

Engineering and automotive consultancy Ricardo posted higher full-year pretax profits as long-term clients in the automotive sector returned, and raised its final dividend eight per cent.

Ricardo was chosen as a strategic supplier by Jaguar Land Rover in the development of new products in April, and the company signed a similar agreement with Great Wall Motor Company of China in March.

Ricardo, which also makes parts like transmissions for Bugatti Veyron, said its order book grew six per cent to £107m at end-June.

"A gradual return of our traditional client base together with multi-year assembly programmes for the defence and high performance automotive sectors has provided a good business base," the company said.

For the year to end-June, Ricardo's pre-tax profits rose to £15.4m from £10.8m a year ago.

Revenue rose 21 per cent to £196.5m.