26 Mar 2012

Firm encouraged by electromagnet investment

7:54 am on 26 March 2012

Listed company Scott Technology is expecting its investment in electromagnet maker HTS-110 to pay off in the next couple of years.

The Dunedin-based firm, which mainly makes production lines for appliance manufacturers and miners, lifted its half-year profit by more than a quarter to $2.8 million, driven by the mining boom.

Scott Technology chief executive Chris Hopkins says its 51% stake subsidiary HTS-110 made a small positive contribution before reinvestment in research and development.

Mr Hopkins says HTS, which designs and makes high temperature superconductors and electromagnets, is well on its way to offer practical applications to sectors such as mining and making drugs.