Volution Group PLC on Wednesday said the first four months of its financial year performed well, citing ‘strong pricing discipline’ and a tailwind from acquisitions.

The West Sussex-based designer and manufacturer of energy-efficient indoor air quality solutions said revenue in the four months ended November 30 was about £121 million, up 8.0% from a year ago.

Gross and operating margins have improved compared to financial year 2023 that ended on July 31, Volution said. It cited ‘strong pricing discipline, an ongoing focus on our operational excellence programme, including material value engineering initiatives, and the introduction of new products.’

Volution added that organic growth at constant currency was 2.9% and inorganic growth was 7.7%.

Recent acquisitions in France, Slovenia and New Zealand are progressing well, it said.

Looking ahead, Volution said its ‘strong’ start to the financial year, paired with the tailwind from the three acquisitions completed in the calendar year, has given the board confidence in delivering earnings ahead of the current range of market expectations for the financial year.

The company said it believes that current market forecasts for financial 2024 are adjusted earnings per share between 25.3 pence and 26.3p, compared to 25.8p in financial 2023.

‘All three geographic regions grew earnings in the period with the strongest performance coming from our UK residential activities. Both public and private refurbishment in the UK has been supported by greater customer awareness of indoor air quality, and resolution of mould and condensation issues,’ Volution said.

Volution shares were up 5.2% to 418.80 pence each on Wednesday morning in London.

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