However, completion of the company’s outsourcing programme has boosted strong margins, up from 42.0% to 47.3%. The adjusted EBITA is up 14.8% to £23.3m and the adjusted profit before tax was £22.0m (2006: £19.3m), up 13.8%.

‘Trading in Europe, the Middle East and Asia Pacific has shown a strong performance, which we believe will continue in the second half of the year as we introduce more new products,’ commented Raymarine CEO Malcolm Miller. ‘We do not expect the outlook for the US to improve in the second half of the year. As a result of these factors, and improving margins, our overall performance for the whole of 2007 continues to be in line with our expectations.’

Looking further forward, however, Miller said the company’s expectation is for sales to remain flat in the US in 2008 with the rest of the world continuing its recent growth trend. Gross margins are expected to remain in line with expectations. ‘We continue to approach the future with confidence,’ he added.

● Raymarine’s interim results were released alongside news that the company had acquired H E Eissing KG, the sole distributor of its products in Germany, for a consideration up to a maximum of €3.5 million (£2.4 million). The whole of the consideration is payable in cash using Raymarine’s existing facilities.

For the year ended December 31, 2006, Eissing reported turnover of €10.9 million (£7.4 million) and the acquisition is expected to be earnings enhancing before restructuring costs in the first full year of ownership.