31 consecutive years of growth for Yorkshire manufacturer
THE company behind one of the world’s leading mechanical-seal manufacturers, AES Engineering, has delivered its 31st consecutive year of sales and profit growth.
Its annual results for the year to December 31 show that the company, parent to the AESSEAL Group, pushed up sales during the year by 11%, to £146.5m. After allowing for acquisitions and exchange differences the company reports that like-for-like sales growth was a healthy 7.4%.
A global player, Rotherham-based AESSEAL is the world’s fourth-largest designer and manufacturer of mechanical seals for a wide range of industries, including oil and gas, food, water, mining and pharmaceuticals. And even as it marks its continued growth, it is planning further expansion. It already employs more than 1,650 people worldwide, of whom approximately 650 are in the UK and Ireland and more than 330 in Rotherham, home to its Global Technology Centre HQ.
The past year saw earnings before interest, tax, depreciation and amortisation (EBITDA) rise to £24.6m. Activities in its key strategic market of oil and gas also grew, by 20% in 2013, building on the previous year’s 26%.
The group reports it has expanded in the UK and worldwide, especially in emerging markets, that it is “well positioned to take advantage of the higher growth rates in markets outside of Europe and the USA” and will continue to strengthen its network wherever it sees opportunities for accelerated development, including sub-Saharan Africa and the Middle East.
AES had net assets of £72.4m, 13% up on 2012’s £64.2m.
The group expanded its UK reliability business with the acquisition of AVT, a UK-wide maintenance reliability consultancy. With this acquisition AES Engineering believes that it has the largest integrated reliability business serving UK manufacturers.
Stephen Shaw, group engineering director, said: “Our investment in research and development over the past five years has seen the product range develop more than any other seal company worldwide during that period.”
Founder and managing director Chris Rea, said: “Over the past three years the group has continued to develop as a reliability-focused business, with exceptional sales growth of complementary products such as our bearing protection and seal support system ranges alongside emerging complementary services and consultancy support capabilities. In addition, our objective of offering a high-quality alternative for compressor dry gas mechanical seals is now a reality.
“The group’s purpose is to put customers at the heart of our business through providing exceptional customer service. In 2013 we are grateful that our customers continued to support the expansion of our products, processes and the globalisation of our business.”
