Profits grow at Pressure Technologies
A RESURGENCE in offshore oil and gas exploration has helped treble pre-tax profits at Pressure Technologies.
The company, which manufactures drilling equipment and wellhead controls, grew revenues by £7.3m to £30.4m as pre-tax profits increased from £0.6m to £1.8m.
Sheffield-based Pressure Technologies also runs the Hydratron group of companies based in Altrincham which it bought two years ago.
The company said its engineered products division, centred on Hydratron and Wales-based Al-Met, is set to become the largest part of the business.
Richard Shacklady, chairman of Pressure Technologies, said: “The engineered products division is poised for further growth; the facility in North America has been re-structured and is positioned to take advantage of a buoyant US market for its well control products. Additionally, the seabed well control equipment market has rebounded after a period of stagnation and orders from this sector are particularly buoyant.
“Having rebounded strongly in 2012 we expect growth in the cylinder division to moderate this year, not least due to increased competition from the Far East in the oil and gas market. However, the business does benefit from having a large forward order book, market leadership in the defence sector and growth positions into diversified markets.
“We will continue to seek acquisitions that suit our profile and will fit into and enhance the engineered products Division. It is now positioned both geographically and in product range to become a significant player in the oilfield control and equipment sector and we believe it is proving to be a platform for growth.”
The board is proposing a 4% rise in the final dividend for the year to the end of September to 7.5p.
