Torotrak trading in line with market expectations
Torotrak says first-quarter trading in line with market expectations
LONDON (Thomson Financial) - Automotive transmission maker Torotrak Plc. said trading has been in line with market expectations for the first quarter, ended June 30, 2008.
The company said it started the new year with a strong engineering order book, working on development projects in each of its four target markets of Outdoor Power Equipment (OPE), Off Highway, Truck and Bus and Automotive.
Income from licensing activity this year is likely to be weighted towards the second half of the year, with two thirds of the group's planned licensing income for the current financial year already covered by secured orders, the group noted.
Tototrak also said it has a high level of committed orders and is pursuing a number of business development prospects helped by the momentum gained through agreements and contracts concluded during the last financial year.
Orders from joint venture partner MTD Holdings for further Twin Toroidal Transmissions (TTTs) will be fulfilled in the second half of the current financial year with volumes depending upon MTD's own market forecasts and requirements.
However, this is likely to be affected by the very difficult U.S. trading conditions in consumer markets, as announced earlier, the company added.
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