Shares in AIM-listed power products firm Volex (LON:VLX) rose by 8.57% to 152p (as of 15:10 BST) after the firm posted a 37.1% improvement in pre-tax profits for the 53 weeks ended 5th April. Revenues for the year were up by 5.2% with gross margins increasing by 340 basis points. The company has continued operating during the COVID crisis and has been operating ahead of expectations.
Executive Chairman Nat Rothschild commented: “Volex’s strategy over the past five years to diversify our customer base and geographic footprint has resulted in a resilient business with a renewed reputation for quality and reliability. FY2020 has been another transformative year. We have strengthened our position, expanded our business, built a strong platform for growth and made two further acquisitions.
“Volex has demonstrated effective management during the Covid-19 pandemic, minimised disruption to our business and continued to supply and support our customers. We are grateful to all our employees for their outstanding efforts.
“Our strategy to reposition the Group over the last five years has improved its resilience and, in particular, our diversified customer base has mitigated the worst effects of Covid-19. This, coupled with our early action in China to keep our sites operational, has enabled us to weather the subsequent global spread of the virus“.