Heat Treating Giant Bodycote Releases 2021 Preliminary Financial Results
UK based Bodycote the world’s largest commercial heat treater and the only truly global heat treater has just released their 2021 Preliminary Financial Results which can be found in their entirety at The leading provider of heat treatment and specialist thermal processing services worldwide – Bodycote plc The basic summary directly from the Bodycote website is included below.
- Revenues up 7.1% at constant currency to £615.8m (organic revenues up 5.2%)
- Headline operating margin at 15.4% (2020: 12.6%) §
- Free cash flow of £105m
- Closing net debt1 of £52m
- Final ordinary dividend 13.8p, total year 20.0p (2020: 19.4p)
- 2020 restructuring programme completed, with permanent cost savings of £20m delivered in 2021
- Incremental £10m of permanent cost savings to come in 2022
- Emerging Markets’ revenues up 17% at constant currency
- Specialist Technologies’ revenues up 7%4 , outperforming Classical Heat Treatment
- Strong margin improvement anticipated as revenues grow
Commenting, Stephen Harris, Group Chief Executive said: “We saw good progress in 2021, with margins increasing to 15.4%, as Bodycote benefited from strong recovery in general industrial markets and completion of the restructuring programme. The results also highlight the progress we are making in our strategic focus areas.
“As we moved into 2022, General Industrial continued to perform strongly, and Civil Aerospace growth has accelerated. Bodycote’s Automotive business continued to be impacted by supply chain disruption for our customers, but signs of improvement are evident. And while we expect cost inflation to persist, we will continue to manage its impact on the business. In summary, the Board expects further progress in 2022, but remains mindful of the current geo-political and macro-economic landscape. “Looking further ahead, the outlook for the business remains positive as we benefit from high profit drop through on revenue growth across all our market sectors.”
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