Engineering consultancy Scott Wilson, recommended by Growth Company Investor at 312.6p in early 2007, has delivered record results for the year to April.

With its core business remaining strong and its international operations growing fast, Scott Wilson was able to deliver 40% growth in operating profits and earnings to £22.6m and 20.3p respectively. This was achieved from a 24% turnover increase from £261m to £324.2m and there is ample growth to come, with Scott Wilson reporting a very healthy £280m order book.

Chairman Geoff French says that, despite economic concerns, growth in the global population and increasing urbanisation continue to drive demand for infrastructure development, playing right into the company’s hands. He insists the current year has ‘started well’ and insists the group has, so far, seen ‘very little impact’ from sub-prime related issues on its UK business.

Recent acquisitions have integrated well and what is more, a new Chinese joint venture set up in April this year is predicted to create plenty of new opportunities in fast-growing Asia.

Analysts at house broker Numis see Scott Wilson delivering £25.3m pre-tax and 21.8p of earnings this year. On those metrics the shares are trading on an undemanding forward multiple of 10 times. That is too low for a quality player with good international growth potential. Hold on for a long-overdue re-rating.

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Scott Wilson	LSE	£73.67m	98.00p	0.00p
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