Progress for construction materials manufacturer, despite tough environment
Naylor Industries plc, a construction materials manufacturer, has reported continued growth despite what it describes as a “challenging” year.
Its turnover increased 12% to £77.9m (2022: £69.8m) in the 12 months to February 28 2023, helped by organic growth and an acquisition.
During the year, the company restructured its clayware business and exited commodity clay pipe markets in the face of soaring energy costs.
Naylor completed the acquisition of Burnley-based Tuffpipes, a manufacturer of PVC ducting, in May 2022; this business has recently been relocated into a new purpose-built 43,000 sq ft production hall on Naylor’s Cawthorne site.
Naylor again invested heavily in plant and premises, with £6.1m of capital additions (2022: £5.7m) including plastic extrusion equipment and a new chiller system at Cawthorne.
Despite the disruption associated with restructuring the clay business and commissioning new equipment, profitability progressed, with underlying profit before tax of £5.6m (2022: £4.1m).
Chief executive Edward Naylor said: “The year has been challenging, with volatile energy markets and input cost inflation but we have been pleased to see the impact of recent capital investment in increased productivity and capacity.
“Our key markets remain rather unsettled, and in terms of growth, the emphasis for the year ahead is on new product development – we have some exciting new products to launch – as well as on bolt-on acquisitions which enhance our offering.”
Naylor is a fourth-generation family business with seven manufacturing sites across the UK, including three in the Barnsley area.
The company manufactures pipes and concrete products and employs 400 people. It serves customers in the infrastructure, utilities, construction and agriculture markets.