By Anthony O. Goriainoff
Rotork PLC said Wednesday that it expects 2020 adjusted operating profit to be at or slightly above the top end of market expectations and that third-quarter revenue was at 97% of the year-prior period on an organic constant currency basis.
The London-listed industrial flow-control equipment manufacturer said that market expectations for adjusted operating profit--a key metric which strips out exceptional and other one-off items--were in the 124 million pounds to 136 million pounds range ($165.7 million to $181.7 million).
Rotork said revenue in the third quarter was an improvement on the first half's 9.6% year-on-year decline, and that its performance in the period largely reflected reduced activity at Rotork Site Services.
The company said that although order intake in the third quarter showed sequential improvement, it remained lower year-on-year on an organic constant currency basis, and that the decline was slightly less than the 16% experienced in the first half.
"Third-quarter adjusted operating profit margins benefited from continued execution of the Growth Acceleration Program and other management actions and we now anticipate full-year margin progress year-on-year, absent any further Covid-19 related disruption to operations," the company said.