Commenting on the company’s end of year figures – trading profits up 14% at UKP708m – GEC Plc chairman Lord Prior described the results as gratifying at a time when we have been absorbing several recent acquisitions; acquisitions which accounted for 6% of the improvement in trading profits. The former cabinet minister claimed that if exchange rates had remained at March 1987 levels profits would have shown an 18% increase. As it stands Electronic Systems & Components showed profits of UKP209m, a 20.1% increase on last year’s figure, Telecommunications & Business Systems saw profit rise 7.4% to UKP102m, while Automation & Control was unchanged at UKP46m. The company said Marconi Communications, GEC Avionics, Defence & Space Systems and the Switching and Private System divisions of Telecommnications had all produced notably better results. Whereas the performance of Marconi Radar, the Telephone division of Telecommunications, Electrical Projects and Industrial Controls was considered less satisfactory. GEC’s controversial cash mountain has come down to UKP1,383m from UKP1,730 last time. Lord Prior went on to say GEC will continue to seek opportunities for acquisition, collaborative arrangements and the expansion of our overall operations.
