(Alliance News) - Weir Group PLC on Wednesday reported a "strong" 2021 with orders growing thanks to demand for recurring aftermarket consumables now surpassing pre-Covid levels.
Shares in the Glasgow-based mining, infrastructure and oil & gas engineering firm were 7.9% higher in London on Wednesday at 1,640.00 pence each. The wider FTSE 250 index was up just 1.2%.
Pretax profit rose to GBP209 million in 2021 from GBP178 million in 2020. Revenue slipped to GBP1.93 billion from GBP1.97 billion, but orders rose to GBP2.20 billion from GBP1.79 billion.
"Original equipment orders were up 45% as we continued to see miners prioritise both sustainability and efficiency. This was reflected in demand for our differentiated technology with Integrated Solutions orders up 32%," Weir explained.
Chief Executive Jon Stanton said: "In 2021 we navigated successfully through a number of significant external challenges to deliver a strong performance for the year. Order momentum was strong, with a significant acceleration in fourth quarter, and demand for recurring aftermarket consumables has now surpassed pre-Covid levels."
Weir declared a total dividend for 2021 of 23.8 pence after withholding the shareholder payout in 2020.
"We start 2022 with a record order book and market conditions continue to be favourable. Subject to ongoing geopolitical uncertainty, and with Covid-19, inflationary and supply chain pressures likely to persist, we currently expect to deliver strong growth in constant currency revenue and profit this year and further progress towards our medium-term performance goals," Stanton added.
By Paul McGowan; paulmcgowan@alliancenews.com
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Weir Group (WEIR)