Northbridge returns to pre-tax profit for first time since 2014
London-listed saw revenues jump 24.7% during 2019 pushing the group into the black with a pre-tax profit of £0.3m.
The Burton-upon-Trent-based industrial services firm reported a revenue of £33.6m, up from £26.9m, for the 12 months to 31 December 2019.
The company said it had also made a pre-tax profit of £0.3m after posting a loss of £2.7m in 2018 signalling a first time return to annual profit before tax since 2014.
The return has cemented Northbridge’s recovery from the downturn which had negatively affected its industries during the last four years.
As a result, Eric Hook, Chief Executive of Northbridge has labelled 2019 as “a strong year with much positive momentum achieved throughout the group.”
Shares in Northbridge Industrial Services were trading 5.19% higher at 71p on Tuesday.
The group reiterated that orders for the sale of manufactured units of Crestchic products were again at a record level at the beginning of 2020.
The group cited concern over the impact of COVID-19 and its consequences amidst the group’s “accelerating recovery” but noted that the group was “as well set as it can be.”
“It is much leaner now, with a low-cost base and a strong balance sheet, manageable bank debt, a full equipment sales order book and a very experienced management team,” said Hook.
Northbridge reported a strong balance sheet of £6.4m, down 25.9% from £8.7m in 2018 as well as a strong cash generation from operations of £8m, up 87.6% from £4.3m in 2018.
“I have no doubt that we can weather the storm and return to growth once the crisis is over.” added Hook.
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