Bodycote, the Macclesfield-based heat treatment and thermal processing giant, reported lower half-year revenue and profit due to weakness in its automotive and industrial units. It kept its full-year forecast unchanged. 

For the first-half of the financial year, Bodycote reported revenue of £399 million, down from £420 million in the same period a year ago. That reflected a £19.2 million reduction in energy surcharges, which were around half the level of last year, as well as a foreign exchange headwind of £12.2 million. Statutory operating profit fell to £30.8 million from £58.7 million.

The company said its outlook for the full year remains unchanged. “We expect to deliver organic revenue growth excluding surcharges and year-over-year margin progression,” it said. 

Jim Fairbairn, Group Chief Executive, said: “We delivered good overall performance in the first half despite a mixed end market backdrop, with organic topline growth excluding surcharges and strong margin progression. This was underpinned by continued outperformance in Specialist Technologies, as well as margin improvement in our Aerospace, Defence & Energy (ADE) division. In our Automotive and General Industrial (AGI) division, where market conditions have been challenging, we have taken a number of decisive actions to balance costs and capacity with near-term demand.”