Engineering orders in Scotland are at their highest level since the start of 2011, according to new figures.
Industry support group Scottish Engineering said its latest quarterly review also showed output was improving.
Almost half (45%) of members who contributed to the survey reported an increase in orders, 34% said they stayed the same and 21% reported a drop.
Meanwhile 38% said output was up, 43% said it had stayed the same and 19% reported a decrease.
Scottish Engineering said in its report: “The improvements in order intake and output volumes which were enjoyed last quarter have improved considerably in this review.
“Orders have reached levels last recorded early in 2011 and output volume continue to rise.
“The electronic sector has seen a significant improvement in orders.”
The organisation has around 400 member companies covering all sectors of the manufacturing industry.
A quarter (25%) of members reported a rise in staffing levels, 57% said employee numbers had stayed the same and 18% said they had gone down.
Chief executive Bryan Buchan said: “There is some evidence of recovery within the UK and we are benefiting from that. We are also seeing a significant number of companies successfully trading outwith the Eurozone.
“We have witnessed over a number of years that our SMEs (small and medium enterprises) have been applying good stewardship throughout the recession thus allowing them to react quickly and favourably to the positive upturn in demand. Over that same period, capital investment has been wisely directed.”