Third quarter trading profit increased slightly to £114 million.
However, GKN Powder Metallurgy’s third quarter sales decreased 1% to £208 million (2011: £210 million), due to adverse currency translation offsetting organic sales growth of 4%. Trading profit increased 25% to £20 million (2011: £16 million) at a margin of 9.6% (2011: 7.6%).
GKN Driveline’s third quarter sales increased by 15% to £773 million (2011: £672 million), due to the inclusion of the Getrag Driveline Products acquisition.
“Macroeconomic conditions have deteriorated in recent weeks and some softening in order books is now evident, particularly regarding European automotive and industrial markets,” said the company. GKN expects other automotive markets and the civil aerospace market to remain solid, and the fourth quarter is anticipated to show improvement.