(Adds details, CEO and analyst comments; updates share
April 26 Britain's Rotork Plc, which
makes valve-control systems for the oil, gas and water
industries, said it expects second-quarter revenue to rise more
than the first quarter due to higher deliveries, particularly in
its fluid systems business.
First-quarter revenue rose 5 percent, while order intake
rose 14 percent to 150 million pounds ($232 million).
Rotork said its order book stood at 218 million pounds at
March 31, 2013, a rise of 20 percent from the end of 2012.
"People would have expected revenue growth to be higher in
the first quarter, but actually its just a timing issue, by the
half year they'll be happy again," Chief Executive Peter France
Rotork's fluid systems business - its second-largest revenue
contributor - designs and makes pneumatic and hydraulic
actuators. Order intake in the unit rose 27 percent during the
The business benefits from industry investment in the oil
and gas sector and is most active in the United States, Latin
America, Australia and Middle East, the company said.
Rotork acquired actuator maker Schischek for 41 million
euros ($53.32 million) in January to enhance its exposure to the
explosion-proof-actuator market and boost its controls unit,
which contributes nearly 60 percent to revenue.
"Acquisitions should underpin growth forecasts and we expect
double-digit growth this year," Numis Securities analyst Scott
Cagehin said in a note.
The company's electric, pneumatic, and hydraulic actuators
and control systems are also used in marine, mining, food,
pharmaceutical and chemical industries.
Shares in the FTSE 250 component were trading up 3.7 percent
at 2800 pence at 0857 GMT on Friday on the London Stock
Exchange. The stock has risen about 6 percent since the
($1 = 0.6477 British pounds)
(Reporting by Abhirup Roy in Bangalore; Editing by Roshni