Electric vehicle parts maker Sevcon grew revenues by £1.34m in the six months to March 2015, thanks to demand for its products in the on-road sector.
The Gateshead-based manufacturer was hampered by a stronger US dollar against the Pound and Euro during the period.
Revenues in the six months to March were £13.3m ($20.27m), compared with £11.96m ($18.22m) and profits over the same period were £627,453 ($956,000) compared with £594,636 ($906,000).
President and chief executive officer Matt Boyle said: “We see the operating results that Sevcon delivered in the second quarter as an indicator of the performance we can expect for the foreseeable future.
“We believe that our traditional off-road industrial markets will continue to be a proxy for global economic trends, and we have initiatives underway to accelerate our growth in those sectors against that backdrop.
“In the on-road sector, our higher investment in our engineering and technical innovation has enabled us to forge strong partnerships with some of the largest companies in the world. We have the opportunity to write the next chapter of Sevcon’s growth by capitalizing on the opportunities we see emerging in electrification.
“We believe that our core technology platforms can be applied and sold across multiple, higher-growth markets as the world transitions to electrification. Sevcon’s flexible, adaptable solutions strategy creates a wide variety of customer-specific products that can lower our production costs through larger volumes, protect our present margins, and create opportunities for organic growth.”
Mr Boyle added: “Nearly all of our growth in the second quarter was driven by increased customer demand for the flexible and easily adaptable power train solutions we have been developing for an expanding range of on-road applications.
“Although the majority of our incremental Q2 on-road sales were for electric and hybrid vehicle applications, we see growing demand for our next generation of products in other electrification applications such as hybridisation for improved performance and efficiency.”
Last month Sevcon received £400,000 grant from the Regional Growth Fund for the development of new range of motor controllers which would create 20 new North East jobs.