The LISI Group said activity declined in 2018 when compared to the high-level of the first half of 2017 and reported lower EBIT at €67.7 million.
LISI also noted the impact of the US dollar to euro exchange rate continued to be significant in the first half 2018, although less important towards the end of the period.
LISI Aerospace, which accounts for 56% of group sales, experienced a fall in European fasteners activity but stronger North American demand. It noted mixed activity in the ‘structural components’ segment and said aerospace operating income was down but free cash flow remained positive.
LISI Automotive (37% of group sales) reported organic sales growth at 6.8%, with the positive trend of 2016 and 2017 confirmed. The segment outperformed European market trends and enjoyed sustained growth from tier 1 customers. Operating margin improved to 7.2%. LISI also noted strong momentum in the ‘safety mechanical components’ and ‘clipped solutions’ segments, in-line with its development strategy and a strong contribution from its acquisition of a controlling share in TERMAX LLC earlier this year, with which it saw initial commercial synergies.
LISI Medical reported organic growth in Q2 following a strong decline in Q1. For the full year, LISI reiterated its April outlook saying that management indicators would stagnate compared to 2017, while free cash flow should remain positive and high.
Having held senior management roles in leading automotive and fastener businesses, Phil joined Fastener + Fixing Magazine as editor in 2002. Convinced there is no substitute for ‘being there’, over 15 years of visits and interviews around the world means he has accumulated an extraordinary knowledge and perspective of the global fastener industry, reflected in his incisive and thought provoking reporting.