LONDON (Reuters) - Engineer Bodycote <BOY.L> remains confident of meeting market forecasts for the year, reflecting a strong performance at its materials testing unit and its ability to pass higher energy costs on to customers, it said on Tuesday.
"The board expects to announce full-year sales and operating profit in line with the consensus of analysts' forecasts," said Bodycote, whose heat-treating technology is used to strengthen parts for the aerospace and car industries.
Sales growth for the year to date, at constant exchange rates, has been 9 percent, of which 4 percent is from acquisitions and 5 percent is organic (internally generated), the company said.
Acquisitions completed during the year are expected to contribute approximately 18 million pounds in sales in 2005 and 32 million in a full year, it said.
In August, the company said it would hit the annual pretax profit of 56.9 million pounds forecast by analysts in a company poll.
Bodycote's testing division, which examines the hardness, strength or fatigue of materials and their chemical make-up, continued to outperform other units, with sales, at constant exchange rates, up 28 percent, as manufacturers outsourced more testing work.
"Energy costs have continued to increase and are being largely passed on to customers, although the recovery lag is typically several months.
The company expects to post full-year results on February 28.
Shares in Bodycote closed at 223-1/4 pence on Monday, valuing the firm at around 717 million pounds.
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