Strong order intake supports second half growth expectations.
Reported revenue up 11%, benefiting from foreign currency movements and composites acquisitions.
Organic revenue decline of 2% reflecting tough comparators in military and further weakness in energy.
Statutory results significantly impacted by £50.8m negative mark to market of our financial instruments, principally as a result of the recent weakness of Sterling.
Excellent progress made on deployment of the Meggitt Production System (MPS)
o Defective parts per million down 87% and on-time delivery up 14% since inception;
o Site launches now under way at the composites facilities acquired in 2015.
Cost reduction initiative launched in October 2015 completed on schedule; two site closures announced as part of footprint consolidation plan.
Integration of two composites acquisitions in late 2015 progressing well.
Net debt:EBITDA up to 2.6x on a covenant basis, commensurate with typical seasonality of cash flow and phasing of profit. Will be within 1.5x-2.5x target range at year end as previously indicated.
Interim dividend up 4.3% to 4.8p.
Full-year 2016 guidance reconfirmed.
