US rail order sparks TPS

Power technology group Turbo Power Systems (TPS) has announced a new £1.5m contract from the US rail industry, adding to the £12m in orders it had already secured in the first half of 2007.

The London-based group’s Power Electronics division received the order from the US National Rail Equipment Company to provide traction motor controllers and low voltage power supply units used in NREC’s locomotive.

TPS, formerly known as Turbo Genset, added the contract to an existing £1m order from NREC and £11m worth of deals with Bombardier in Chicago and Toronto.

TPS unveiled the latest NREC business as it reported an almost doubling of production and development income and a nine per cent reduction in loss before tax in its interim results.

Although production and development income were up by 93 per cent to £4.7m, compared with £2.4m last year, orders entering the production phase and a factory move to Gateshead in June contributed to higher costs. Loss before tax, however, fell to £3.3m compared with last year’s £3.6m.