Fairey up 19% as it finds new interests

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The Independent Online
FAIREY, the acquisitive engineering company, unveiled pre- tax profits for 1992 of pounds 17.3m, up 19 per cent, in a year when it moved further away from its traditional interests in aerospace and defence.

Fairey spent pounds 15.6m in cash and issued 2.93 million shares to help to fund acquisitions in its electronics and power division, which contributed pounds 10.7m to group profits, up from pounds 7.6m.

Turnover in aerospace and defence fell pounds 1.8m to pounds 22.3m, but improved efficiency saw profits edge up pounds 194,000 to pounds 2.3m.

John Poulter, chief executive, said approximately pounds 1.7m of group profit stemmed from acquisitions made in 1991 and 1992. 'There has been substantial growth from acquisitions, but also strong growth from Red Lion (electronic controls) and our insulator business, long-term parts of Fairey.'

Profits from the group's filtration and specialised ceramic interests fell from pounds 3.1m to pounds 2.9m, on static sales.

Group turnover rose 17 per cent to pounds 104.3m. After generating pounds 5m in cash, Fairey ended the year with net cash of pounds 2.1m.

Earnings per share rose from 28.1p to 32.5p. A final dividend of 6.9p gave a total for the year of 10.2p, up 13 per cent. The shares rose 10p to 590p.