- Strength in the aerospace and petrochemical market
- Net cash contracts due to M&A and capex
Porvair (PRV), in keeping with many other industrial groups, has had to contend with a period in which aggregate demand in the economy has been stifled by the rising cost of capital. Yet, if nothing else, the past couple of years suggest that demand for the industrial filtration specialist’s products and expertise is relatively inelastic. That’s because the group’s technologies are embedded within many production processes, so cyclical levers are unlikely to have a disproportionate impact on sales. Indeed, the group notes that compound annual growth rates for revenue and adjusted earnings come in at 6 and 10 per cent respectively over the past 10 years.