TT Electronics – powerful end to 2022 boosts electronics group to better-than-expected performance
The final two months of its 2022 year saw TT Electronics (LON:TRT) enjoy continued revenue growth, strong enough for it to beat market expectations.
The global provider of engineered electronics for performance critical applications has reported that its 20% organic growth for the year reflects its successful positioning in structural growth markets and new project and customer wins, with the outperformance driven by its Global Manufacturing Solutions business.
The company operates in industries where there are structural growth drivers, working with market-leading customers primarily in the industrial, medical, aerospace and defence sectors.
Products designed and manufactured include sensors, power management devices and connectivity solutions.
The group, which has design and manufacturing facilities in the UK, US, Sweden and Asia, operates through three main divisions.
The Power and Connectivity division designs and manufactures power application products and connectivity devices which enable the capture and wireless transfer of data.
The Global Manufacturing Solutions division provides manufacturing services and engineering solutions, it manufactures complex integrated product assemblies and provides engineering services including designing testing solutions and value-engineering.
The Sensors and Specialist Components division works with customers to develop standard and customised solutions including sensors and power management devices.
Consensus Opinion - £39.4m top expectation
Expectations for the trading year to end December 2022 are for adjusted pre-tax profits in the range of £36.5m to £39.4m.
When the results are published on Wednesday 8th March there are likely to be upgrading in current year broker estimates.
The group’s shares have risen over 50% since the beginning of last November and are now up 5% on the news, trading at around the 189p level, which still offers a useful upside potential.