Sept 15 Shares in Electrocomponents Plc
hit a 12-year high on Thursday, rising nearly 15 percent after
the company said it expected a 73 percent rise in first-half
The British electrical parts maker said it expected to
report pretax profit of about 54 million pounds ($71 million) in
the six months ending Sept. 30, compared with 31.3 million
pounds a year earlier.
The company said it now expects underlying sales growth of
around 2 percent in the first half, accelerating from the 1
percent growth it reported in the first quarter.
Electrocomponents, which distributes 500,000 products from
2,500 suppliers, said trading continued to be strong in the
second quarter, driven by growth in North America and Asia
North America and Asia Pacific accounted for 24 percent and
12 percent of the group's sales respectively in the year ended
Electrocomponents also said weakness in the sterling, which
fell to its lowest in more than 30 years in July, would add
about 7 million pounds to its first-half profit.
Broking firm Stifel reiterated its "buy" rating on the
stock, citing management action that delivered a substantial
improvement in operational performance.
The company's shares were up 14.7 percent at 346.3 pence at
0902 GMT on the London Stock Exchange, making them the
second-largest gainers on the FTSE midcap index
($1 = 0.7559 pounds)
(Reporting by Rahul B in Bengaluru; Editing by Sunil Nair)