A MINISTRY of Defence vehicle repair firm says a £140m deal is providing the thrust for international expansion.

Babcock International says higher revenues and profits, helped by a £20bn order book, are laying the foundations for growth.

The company previously bought Defence Support Group (DSG), which has a base in Catterick Garrison, North Yorkshire, from the Government, which officials say have bolstered its progress.

DSG is known for looking after Land Rovers and heavy-duty trucks used across the UK and abroad.

According to latest financial results, released yesterday, Babcock’s revenues were six per cent better off at £2.5bn in the six months to September 30, while pre-tax profit was also higher at £228.4m.

Officials said its defence and security division, wherein DSG is now a mainstay, was the largest driver of such growth, with revenue rising 16 per cent.

They added they are now speaking to the Army to potentially extend the number of bases DSG operates from, confirming its “indispensable” role was providing scope to grow internationally.

Archie Bethel, chief executive, said: “We are seeing strong progress in DSG.

“The defence and security division is expected to continue to grow strongly (and) DSG continues to demonstrate its value as a supplier of complex engineering support to the Army, providing growth opportunities that were not previously accessible.

“Our role in supporting the UK fleet means we are well placed to expand services into international markets, both for the UK and international armed forces.”