Volution has its fans in new building surge
A UK engineering firm backed by the Prime Minister reaped the benefits of an increase in housebuilding last year to bolster sales by nearly a fifth.
Volution Group, which makes ventilation equipment for new houses, made £121m in revenue for the year ending July – an 18.2 per cent increase – thanks to acquisitions and organic growth in the UK.
“The dynamics in new build are very positive for us,” chief executive Ronnie George told City A.M.: “There’s more to do in terms of supply, and going into the general election all of the parties recognise the structural shortage is something we need to something about.”
The results were the first since Volution floated on the stock market in June. George said he was “disappointed” the firm was currently trading below its issue price but added: “We don’t pay a lot of attention to the share price. We think we can drive value from within and hope the market will recognise that over time.”
Organic growth contributed 3.3 per cent to the revenue growth, with the most of the growth from acquisitions. The company said it aimed to make at least on acquisition a year. George said the company was “actively pursuing” more takeover deals currently.
The company was endorsed by Prime Minister David Cameron earlier this year for bringing back jobs to the UK from China.