The investment case

We provide expertise in heat treatment and specialist thermal processes across a wide variety of markets. We aim to create sustainable value for all our stakeholders, whether investors, customers, employees or the communities where we operate.

Key investment strengths

A strategy in place to further enhance margins and growth through:

Increasing the size of our Specialist Technologies business with its superior margins, higher growth characteristics and lower emissions
Investment in development and localisation opportunities in Emerging Markets
Investment in secular growth end-markets of civil aerospace and electric vehicles
Improving the mix of the Classical Heat Treatment business
Proactive approach to ESG and sustainability
Investment in acquisitions and greenfield sites
Strategy that can accommodate widely differing market outcomes

What can you expect?

Higher growth markets of Specialist Technologies, Emerging Markets and civil aerospace already constitute more than half of the Group revenues and more than 60% of the Group’s headline operating profit
– These higher margin and growth opportunities are expected to continue to outperform the Classical Heat Treatment business

Classical Heat Treatment should perform ahead of markets, driven by:

Increasing demand for improved materials and quality
Additional outsourcing as customers understand that Bodycote is part of the solution to reducing their carbon emissions

Continued selected acquisitions

Four key acquisitions in the last five years

All on top of underlying industrial production growth