Meggitt Sees Continued Soft Aerospace Revenue
British aircraft parts supplier Meggitt forecast on Friday mid-single digit revenue growth in 2013 after reporting solid third-quarter trading due to strong growth in its energy business.
The company, which supplies flight displays and wheels to Airbus and Boeing, said it continued to expect 2012 revenues to grow by around 10 percent as its energy units, which include sensing and monitoring systems, more than offset the continued softness in civil aerospace aftermarket revenues.
The group said it was also now starting to see the anticipated effects of the drawdown from Iraq and Afghanistan on its military revenues.
"Against this backdrop we were pleased that our third quarter organic revenues were in line with our exceptionally strong performance in the same period last year," it said.
"Based on current projections, and notwithstanding the uncertainty in military end markets, the group expects to see percentage revenue growth in the mid single digits in 2013."
Airbus and Boeing expect total demand for more than 6,000 mid-sized, long-range jets over the next 20 years, a market worth several hundreds of billions of dollars.