The French car parts firm Montupet’s new accounts has revealed a rise in turnover at the company’s Northern Ireland operation by 10.7 per cent to £87.3 million last year ended on December 31, The Telegraph UK reported.
Headed by John McMichael, Montupet produces aluminium engine components for car manufacturers throughout Europe.
But despite a hike in turnover, the company’s pre-tax profits took a 4.4 per cent year-on-year dip from £13.3 million to £12.7 million. However, the cost of sales increased by £6.5 million over the year to £69.2 million. Admin costs were also up by £1 million, although the company’s wage bill decreased from £21.6 million to £19.6 million.
The employment rate also dipped from 582 in 2016 to 569 in 2017, the report said.
Nevertheless, the company, which is now part of the Canadian Linamar Corporation, has outlined an upbeat overview of the Belfast business.
In the new strategic report summarising the past year's business, Montupet's directors said the automotive sector had "experienced significant recovery", resulting in "sustained profitability" for the company.
"Latest forecasts for the following 12 months point to demand for the company's products increasing slightly, with existing demand augmented by new product introductions as a result of substantial investment in production capacity."
Montupet is operating in Northern Ireland since 1989, using the former base of car maker DeLorean. In 2016, it was sold to Ontario-based Linamar for a deal reportedly worth around £700 million.
Over the third quarter of 2018 the company reported an 18.6 per cent increase in sales, reaching £1 billion year-on-year. Sales for the nine months to September 30 also increased to £3.4 billion, compared to £2.9bn in the same period last year, with earnings before interest, taxes and amortization (EBITDA) rising from £465.4 million to £540.8 million.
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