LONDON Aug 8 British aero electronics group
Cobham said adjusted pretax profit slipped 4 percent in
the first half, as expected by the market, and said it would
target commercial aircraft markets in light of uncertainty about
U.S. defence spending.
Cobham, whose equipment aids communication between military
vehicles and aircraft, on Wednesday reported an underlying
pretax profit of 142 million pounds ($222.2 million) for the six
months to the end of June on 5 percent lower revenues of 843
The company, which earlier this year acquired Danish
communications equipment maker Thrane & Thrane, said it remained
positive on the outlook for its commercial and non U.S. defence
and security businesses, which now represented 60 percent of
revenue, but it was less positive on U.S. defence spending.
"The outlook for the U.S. defence/security market for the
end of 2012 and 2013 is particularly uncertain due to the
upcoming US elections and the lack of political consensus on
U.S. Government budgets," the company said.
"Given the uncertainties referred to we are approaching
2013 with caution and building flexibility into the operating
model including preparations for appropriate cost management in
response to differing US Government budgetary outcomes."
Cobham was expected to report an average first-half pretax
profit of 140 million pounds, according to Thomson Reuters
Suppliers to the civil aerospace sector have been boosted by
order book growth at planemakers Airbus and Boeing
, who expect combined deliveries for 2012 to be well ahead
of last year.
The world's top two planemakers are ramping up output and
are targeting more than 1,100 deliveries this year, in response
to growing demand from airlines for new fuel-efficient planes.
Cobham increased its interim dividend up 33 percent to 2.4
pence per share.