Source: BusinessLive post
KNOWSLEY, U.K. – Surface Transforms, a Merseyside brake disc maker has reported gross profit and revenues soared by 72 percent and 55 percent in the six months to June 30 following huge contract wins and increasing sales.
Knowsley-based Surface Transforms released its half-year financial results on Monday, revealing that profit had risen to £590,000, with revenue up to £902,000, with losses before tax falling to £1.451 million from £1.525 million during the same period last year.
It comes after the firm announced earlier this month it had landed a “game-changing” deal worth £27 million with a “global vehicle manufacturer” to become a tier-one supplier of a carbon ceramic brake disc.
Surface Transforms Lands “Hypercar” Brake Deal
The recent news means the company will be expanding its headcount – investing millions in staff over the coming years.
Surface Transforms said it now anticipates current full-year 2020 revenues will be approximately £2m.
A statement from the board released to the markets on Monday said: “Despite the Covid 19 lockdown, trading has been better than expected.
“The company reiterates that it is now forecasting positive profits after tax (including receipt of the R&D tax credit), a year earlier than previously announced, in 2021 and positive operating profit, before interest and tax, in 2022.”
Other recent contract awards include a £5 million deal from Koenigsegg on the recently launched Gemera car.
The firm hopes to announce “further contract awards over the next six months”.
The statement added: “During the period the company accelerated its progress to becoming a profitable mainstream automotive supplier of carbon ceramic brake discs. This continued progress was achieved against the most difficult economic and operational conditions in recent memory.
“Finally, I would like to conclude by recording the Board’s appreciation of the outstanding contribution by all members of the team, particularly in the context of the Covid-19 pandemic.”