24 May 2011 – interim results

The specialist engineering and construction services group Renew Holdings has announced very solid results for the six months to 31 March.  Revenue for the period has risen by 12% to £155.5m (2010: £138.6m) whilst pre-tax profit before exceptional charges rose by 29% to £2.28m (2010: £1.77m).  Adjusted earnings per share were 23% higher at 3.11p (2010: 2.52p) and the interim dividend was maintained at 1.0p. 

The acquisition of Amco together with the withdrawal from non-specialist public sector building markets has transformed the group into a predominantly specialist engineering business.  This should be of benefit to the group going forward as it will open up further growth opportunities.  These are clearly good results but after the strong run seen in the share price over recent months we believe that the shares  are pretty much up with events.  HOLD.