Results Notice & Trading update23 Oct 2013 10:30
Pressure Technologies plc (the "Group") is pleased to announce a positive trading update following a strong close to the year ended 28 September 2013.
Trading in the second half of the financial year was strong in both the Cylinders and Engineered Products divisions. The Cylinders division was buoyed by increased demand in the oil and gas sector and a growth in naval defence projects, when compared to 2012, resulting in a better than expected end to the financial year just finished.
In the Engineered Products Division, Hydratron UK delivered a major improvement in sales and profits in the second-half, after a slow start to the financial year. Hydratron Inc, which is based in Houston, Texas, was brought under the direct control of Hydratron UK in May this year and has since been making positive headway in the important US Oil and Gas market. Al-Met continued to grow in line with the increased building of subsea trees for the deep water oil and gas market.
As a result of these various factors, the Group now expects that the results for the year ended 28 September 2013 will be ahead of market expectations. The preliminary results will be announced on Tuesday, 3 December 2013.
Looking ahead to 2014, the Board is expecting further progress in all areas of the Engineered Products Division. Whilst Cylinders is expected to experience a well flagged reduction in margins, arising from aggressive pricing by its Asian competitors, the Directors expect to see a continuation of the high levels of activity in other areas of oil and gas highlighted earlier in the year.
As previously announced, the Alternative Energy Division has secured two large orders for its biogas upgrading systems which will be delivered in 2014 and there is a pipeline of potential follow on orders.
Accordingly, the Board is pleased to begin the new financial year on a positive footing and looks forward to updating shareholders as the year progresses.
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