The company behind one of the world’s leading mechanical-seal manufacturers, AES Engineering Ltd, has delivered its 32nd consecutive year of profit growth despite a small decrease in sales.
Results for the year to 31st December 2014 show that the parent company to the AESSEAL Group had sales of £142m during the year down 3.1% on 2013.
The company advises the largest impact on reduced sales was adverse currency movements, when compared to 2013 and that allowing for exchange differences like-for-like sales growth was 2.7%.
During 2014 the Group reports that a strategic alignment of their AVT consultancy business and AESPUMP business led to a turnover reduction for the individual parts of that business, but that the benefits of the integrated reliability business should come through in 2015.
A global player, Yorkshire-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. It employs more than 1,650 people worldwide, of whom approximately 680 are in the UK and Ireland and more than 350 in Rotherham, home to its Global Technology Centre HQ.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose to £25.2m (up 6%). Cost control was the key to maintaining growth in earnings despite the lower revenue.
During the year the Group continued to strengthen its operations globally and in particular, in growth markets of the Middle East and South East Asia. The Group has also continued to invest heavily in product development and reports that it now has a complete range of mechanical seals and is able to compete on a level playing field with its larger competitors. The Group is confident that its designs are at the forefront of mechanical sealing technology. This continues to be a key factor in the continuing development of the business in demanding sectors such as, Oil and Gas, Hydrocarbon Gas Transportation (Compressor Dry Gas Seals), Autoclaves, High Technology Mixer Seals and High Temperature Corrosive Applications
Stephen Shaw, Group Engineering Director, said: “Our investment in research and development over the last few years has put our product range at the forefront of mechanical sealing technology”
Our investment in research and development over the last few years has put our product range at the forefront of mechanical sealing technology
Founder and Managing Director Chris Rea, OBE, said: “The group’s purpose is to put customers at the heart of our business through providing exceptional customer service. In 2014 we are grateful that our customers continued to support the expansion of our products, processes and the globalisation of our business. Our business will only thrive in 2015 and beyond if we continuously improve every aspect of our business that brings value to our customers”.