Manufacturing company Senior plc has revealed that its UK defined benefit (DB) pension plan surplus has increased up to £30.9m, as of 31 December 2018, in its Final Results report.

This represents an increase of £11.5m in one year, from the £19.4m surplus it posted at the end of December 2017.

The increase has been attributed to £8.2m worth of cash contributions to the scheme, in excess of running costs, and £5.1m in net actuarial gains.

This was partly offset by the £2.4m charge paid in relation to the equalisation of guaranteed minimum pensions (GMP), following the High Court ruling in October 2018.

Senior plc's DB scheme liabilities totalled £12.4m, down from the £14.7m worth of liabilities recorded at the end of 2017.

Commenting on the report, Senior plc chief executive, David Squires said: "Senior delivered profitable growth in 2018. Adjusted profit before tax increased by 15 per cent, exceeding sales growth of 8 per cent, on a constant currency basis.

“Free cash flow remains healthy and group margins improved as volumes increased and benefits from ongoing cost reduction efforts were realised.

“Trading in 2019 has started in line with expectations. The board anticipates that, even with changeable geopolitical conditions, 2019 will be another year of improvement in performance for the group.

“Looking further ahead, the group is well-positioned, financially robust and expects to continue to make good progress."

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