Midland engineering firm Castings has revealed a huge jump in profits after half-year sales increased by three-quarters.
Brownhills-based Castings (CGS) has reported profit before tax after exceptional items of £5.12 million for the six months to September 30, compared to £1.89 million for the same period last year.
Sales for the period rose to £44.6 million compared to £26 million for the same period last year.
In a statement, chairman Brian Cooke said: “It is pleasing to report that sales have recovered at a rapid rate during this reporting period and we are now operating at about 90 per cent of previous high levels.
“The increases have been achieved by the recovering fortunes of the heavy vehicle production in Europe, through increased worldwide sales. We anticipate this increase will continue at a much slower rate throughout 2011. It is also pleasing to report new work has been obtained for our machining company CNC Speedwell from new and existing customers. We are seeing the benefit of our considerable capital investment in CNC now that volumes are increasing.
“The new foundry at William Lee is operating on a limited basis and it is expected new business will result in increasing output in the future.
“It is hoped, provided there is no reported ‘double dip’ in the economy, that the full year results will show a recovery towards our previous levels.”