Boeing supplier Senior’s profit rises on demand recovery

(Reuters) -British auto and aircraft parts supplier Senior reported a rise in half-yearly profit on Monday, buoyed by a recovery in its flexonics business and strong demand from planemakers.

Planemakers have ramped up production to meet booming air travel demand, benefiting companies like Senior, which supplies equipment to Boeing (NYSE:) and Airbus.

“Planned aircraft build rate increases should lead to higher sales in H2 with supply chain challenges enduring but anticipated to be less severe towards the end of the year,” the company said in a statement.

Meanwhile, strong demand in Senior’s flexonics business, which makes fluid conveyance and thermal management components for land vehicles and power and energy applications, has helped offset the weakness in aerospace caused by supply-chain snarls.

The company said margins have recovered well as sales have grown in the flexonics unit, including some one-off benefits related to cost recovery.

The engineering firm said its profit before tax was 13.5 million pounds ($17.35 million) for the six months ended June 30, compared with 11.1 million pounds a year earlier.

Adjusted profit jumped 87% to 17.6 million pounds on a constant currency basis.

($1 = 0.7780 pounds)

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