8 November 2006 – Fenner, the reinforced polymer technology specialist, has announced record profits for the year ended 31 August 2006.
Operating profit was a record high at £33.7m, an increase of 107%, while pre-tax profit was up by 136% from £12.4m to £29.3m.
The company’s turnover had risen from £303.6m in 2005 to £379.0m, with the conveyor belting division performing strongly and doubling its operating profit to £20.5m.
The conveyor belting business in Europe suffered a weak first half, said the company. A new management team improved both factory output and control of costs, resulting in a stronger second half.
Fenner’s solid woven PVC businesses in China, India and South Africa were said to have enjoyed consistent sales growth. A new press in South Africa enabled the company to satisfy the demand for high performance nitrile cover products in that market.
FAST, Fenner Advanced Sealing Technologies, had a “record year”, which the company attributes to strong demand for seals for oil, gas and mining equipment. A 50% improvement in productivity was achieved, the company said, due to the relocation of the main factory in Hampton, UK, to a “bespoke modern facility” at the same location. A Six Sigma programme has been launched across all FAST locations.
In terms of outlook, chairman Colin Cooke said the new year had started well and in the medium term the company expects its capital expenditure to broaden its market exposures and accelerate growth.
