Mincon eyes organic growth as revenue increases 11pc
Published 20/08/2016 | 02:30
Revenue at Irish engineering firm Mincon soared by 11pc in the first half of the year as sales of its third-party products increased by 16pc.
Total revenue during the period amounted to €36.3m with Mincon's own product taking up 77pc of overall sales.
Profits at the firm increased by 9pc to €4.9m with the company's gross profit margin holding steady at 41pc.
The engineering group said it had looked at potential acquisitions during the period.
However, Mincon said it did not see value for the group in the terms that were being sought in comparison to investing in its own engineering.
Mincon chief executive Joe Purcell said the results were "relatively satisfactory".
"We are seeing growth in the Americas and Australia, with only Africa retrenching in the first half," Mr Purcell said.
"We are investing in our factories to provide for the expansion of our product ranges, and new equipment is in the process of being commissioned in several of our manufacturing plants.
"We expect to begin to see sales growth from these products in the 2017 year, with the rest of 2016 being used to test and complete designs, and to develop marketing and sales plans," he continued.
Mincon gave a positive outlook, saying its sales are rising due to an increase in market share rather than a general improvement in target markets.
However, the company said it is noting some improvements in commodity prices.
Davy analyst Colin Sheridan said the firm has "provided further evidence of its success in capturing market share gains".