Ricardo ’s (RCDO) diversification plan is keeping the engineering consultancy on track. Revenue during the first four months of 2012-13 is up 8 per cent and order intake grew 6 per cent, which leaves an order book of £108m, slightly bigger than at the end of June.
There’s lots of work in the UK and the US for Ricardo’s core technical consulting business, offsetting a slowdown in Germany after a client there took its testing in-house. And the company is still churning out Foxhound armoured vehicles and engines for McLaren supercars, driving profits at the performance products division. Buying environmental consultant AEA Europe for £18m looks smart, too, and will boost earnings this year; so will extra automotive work, which is coming back in the US and Asia.