AB Dynamics PLC on Thursday said that it expects to report annual results ahead of expectations, and also noted the completion of its Bolab acquisition.

AB Dynamics is a Wiltshire-based designer, manufacturer and supplier of advanced testing, simulation and measurement products.

Reflecting on the year ended August 31, the firm noted a particularly strong second half, with ‘significant organic growth’.

Accordingly, it now expects to report full-year revenue of over £110 million, and adjusted operating profit ahead of current market expectations of between £17.3 million and £18.8 million.

In financial 2023, revenue was £100.8 million and adjusted operating profit was £16.6 million.

The Testing Products segment continued to experience strong demand, while the Testing Services business returned to growth following the removal of ‘external impediments’.

Additionally, AB Dynamics said that order intake continues to be strong, providing good momentum and visibility as the business enters financial 2025.

Also on Thursday, the firm said that it has completed the acquisition of Bolab Systems GmbH for an initial consideration of €5.0 million.

Bolab is an automotive power electronics testing products business. It is being acquired from its founder, who will remain in the business.

The maximum consideration payable for Bolab is €11.0 million, comprising an initial cash consideration of €5.0 million, and contingent consideration of up to €6.0 million.

In the year ended December 31, Bolab generated revenue of €3.4 million, and operating profit of €600,000.

AB Dynamics expects the acquisition will be earnings enhancing in financial 025, with annualised revenue forecast to be approximately €4.0 million, and forecast adjusted operating profit of €800,000.

Shares in AB Dynamics were trading 2.5% higher at 1,972.75 pence each in London on Thursday afternoon.

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