Business
IMI plc Interim Management Statement
IMI plc Interim Management Statement.
About this update from Imi Plc
[{"type":"text","content":"\n \nRNS Number : 7008G IMI PLC 08 November 2018 \n\n8 November 2018\nIMI plc Interim Management Statement\n \nIMI, the specialist engineering company, issues the following Interim Management Statement, which covers the third quarter from 1 July to 30 September 2018. Unless otherwise indicated, comparatives reflect results on an organic constant currency basis.\nCurrent trading and outlook\nProgress with the Group's strategic initiatives continues and, based on current market conditions, we expect full year 2018 results to be in-line with current market expectations.\nWhile positive momentum is evident in some of our most important markets, increased volatility has become a feature through the third quarter. For the 9 months to September, organic revenues were 5% higher than the same period last year. Revenues for the third quarter were, on an adjusted basis, 7% higher than 2017 and, after adjusting for the impact of foreign exchange movements and the acquisition of Bimba, were 3% higher on an organic basis.\nIn the second half of 2018 we expect organic revenue and profits to improve when compared to the same period in 2017. The improved results will be supported by market growth in Precision Engineering, rationalisation benefits in Critical Engineering and an improved profit performance from Hydronic Engineering.\nStrategic progress\nOur various initiatives to harness the Group's potential continue to progress well. We remain committed to investment in new product development to fuel growth, improving operational performance to enhance our competitiveness and investing to modernise our IT infrastructure.\nIMI Critical Engineering\nIn the nine months to September, Critical Engineering order intake was 2% higher than the previous year with Aftermarket 8% higher, offsetting a 4% reduction in New Construction activity. In the three months to the end of September, order intake was 40% higher with significant new projects booked in Petrochemical. Aftermarket orders were 19% higher than the comparable period in 2017.\nThe division's order book at the end of September 2018, at £520m, was 3% below the same point last year and included £139m of orders won through Value Engineering. Margins in the order backlog remain higher than at the same point in 2017 reflecting improved Aftermarket margins and favourable mix.\nAs exp...