- Technical products and serves group Diploma said it expected to deliver 'strong' performance in the year ahead after reporting a fall in annual profit as acquisition-related costs hurt performance.

For the year ended 30 September, pre-tax profit fell to £66.7m from £83.5m as revenue slipped 1% to £538.4m year-on-year.

Acquisition-related costs rose to £17.3m from £13.1m.

Its controls business, which was most exposed to the UK economy as well as some more structurally impacted end segments, saw revenue fall 12% to £156.6m.

'We expect to deliver another strong performance in the year ahead with a return to underlying mid-single digit growth and historic margins, in line with market expectations,' the company said.

'Growth in revenue and margin progression are expected to be H2 weighted,' it added.

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