UK-headquartered aerostructures, components, and systems provider GKN Aerospace reported a 7 percent increase in sales in 2019 and a jump on future business with a couple of key contracts, including from Gulfstream Aerospace and Aerion Supersonic. At the same time, GKN said it anticipates some negative impact in 2020 related to the COVID-19 outbreak.

GKN Aerospace brought in £3.852 billion ($5.03 billion) in revenue and posted a profit of £409 million for the year, exceeding expectations, it said. This compares with 2018 results of £3.534 billion in revenue and profit of £341 million. Operating margin was up from 9.9 percent in 2018 to 10.6 percent last year.

The company added its reorganization to strengthen and streamline its business remains on track. GKN is organizing business lines around civil airframes, defense, and engines—a process that will continue over the next 18 months. Meanwhile, GKN invested more than £50 million at its UK facilities in Cowes, Luton, and Portsmouth, as well as at its U.S. plant in Garden Grove, California.

Also last year, GKN reinforced its business jet business, receiving a contract to design and build the empennage and floorboards for the Gulfstream G700. The contract further covered fuselage panel production. In addition, Aerion selected GKN to design the empennage and electrical wiring and interconnection systems for the AS2 supersonic business jet.