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As the pan-European technical design specialist for FLIR�s thermal camera cores, Acal BFi is a true �one-stop shop,� providing direct support and design consultancy services to customers.Acal BFi enables customers to develop customised designs for their innovative applications and products.The solid start is a continuation of the momentum Acal has been building in previous quarters.

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Since 2011, we have been building a Design and Manufacturing business that would transform the Group into a higher margin business.

D&M now accounts for 78% of Group underlying profit contribution........

In our view, the sustained improvement in demand is not reflected in the share price.""Valuation: Discount to peers has widened On an FY18e P/E of 15.4x and FY18e EV/EBITDA of 9.3x, the stock is trading at ac 35% discount to the peer group average for both multiples, compared to a 25%discount when we last wrote in July.

The share was recently reclassified from Industrial Support Services to the Electronic & Electrical Equipment sector, and istrading at a c 30% discount to the new sector P/E.

Acal BFi technical support engineers will help OEM designers from more sectors and industries select the right thermal core, integrate it into new, innovative solutions and efficiently bring these to market.�Edison produced a new report last month whilst I was on hols - it hasn't been posted here before, so FYI....

The suggested 35% discount to peers implies that ACL should be trading at almost 500p, compared to the current 320p: Http:// Trading update Sustained uptick in orders drives upgrades Acal�s H118 trading update confirms that strong demand continued into Q218.

Designers and engineers are now able to add the features, advantages and benefits of thermal imaging to applications and products which were, until now, unreachable due to size, weight, cost or power requirements.

Combined with Acal BFi�s expert support and leading technology portfolio, thermal imaging and detection is now available to more sectors than ever before.........�With Acal BFi�s design support, customers can efficiently integrate the latest thermal imaging technology� Alex Schneider, Business Development Director of Acal BFi�s Photonics & Imaging Business Unit commented; �We are delighted to add Lepton cores to our portfolio of FLIR thermal camera solutions, alongside the Boson and Tau cores.

The strong order book, combined with good progress in the strategy to grow the Design & Manufacturing side of the business, provides confidence in both the near-term and longer-term outlook for the company.

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