LONDON (dpa-AFX) - Meggitt Plc (MGGT.L) reported a 25% decline in third-quarter group revenues, and reinstated guidance for the full year, with positive free cash flow in the second half.
Group revenue for the third quarter was £384 million, down 25% on an organic basis. Defence revenue grew 9% organically, driven by another strong performance in OE which was up 18%. Civil aerospace revenue was 49% lower than the comparative period on an organic basis, but Energy revenue grew by 4% organically driven by a number of orders in its Heatric business.
The company completed majority of its actions to reduce cash expenditure and resize the business. Further, Meggitt said it remains on track to deliver its target of £400 million - £450 million of cash savings for the full year.
For the full year, the company expects to deliver underlying operating profit between £180 million and £200 million, to be free cash flow positive in the second half, and cash flow neutral for the full year at the top end of the operating profit guidance range.
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