Sheffield Forgemasters report robust set of results
11 December 2013
Sheffield Forgemasters International (SFIL) has said its strong customer relationships, promotion of product design and development, and technical expertise have allowed it to report a robust set of results despite the "longevity of the global economic recession."
During the year to 30 June, SFIL said it had capitalised on its strengths in offshore oil and gas exploration markets while global trade remained largely subdued and the signs of economic recovery start to emerge.
The engineering company reported turnover of £100.1m for the period, down from £106.8m in 2012, which SFIL said was achieved despite challenging, weak worldwide market conditions, acute pricing pressures from international competitors and the continuance of the worldwide downturn.
Strong cash and working capital management was said to have resulted in "significant reduction" in net debt allowing the group to effectively plan for strategic growth.
Tony Pedder, chairman of Sheffield Forgemasters, said: "Markets have remained largely subdued and the signs of economic recovery that have started to emerge in many global sectors are yet to spread significantly to major capital investment projects, which are the bedrock of our business.
"The exception has again been the offshore sector, where our skills and efforts have remained strongly focussed, to encouraging effect. Given this background and the resultant pressure on margins as competition for available orders has been intense, it is pleasing to report that turnover has held up."