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Detecting landmines and sending up flares on battlefields and to protect borders are a boom business in more ways than one, the defence group Chemring said today.
The pyrotechnics and explosives expert today reported a soaraway 44% growth in profits in the first half of the year to £30 million on six-month sales up 55% at £233 million.
The dividend has taken to the stratosphere too, 40% better at 14p.
Though the Iraqi war is over, Chemring is taking full advantage of the ongoing hostilities in Afghanistan and general political volatility around the Middle East and Africa.
Its pyrotechnics business, which illuminates battlefields and border controls, grew 100% year on year while its explosives ordnance disposal business, clearing landmines and dealing with roadside bombs grew 200%.
Chief executive David Price said: "If we continue to grow at this rate of 50% compound growth our gross domestic product will be larger than that of the UK.
"Irrespective of economic cycles and fluctuations in defence budgets such outstanding levels of growth are not sustainable in the long term.
"But the strength of our countermeasures business around the world and the opportunities for growth suggest we can maintain above-average growth in the immediate future."
Price indicated Chemring is likely to make several bolt-on acquisitions in the coming months.
