Pegler Yorkshire, a leading UK manufacturer of plumbing products and systems, has released its 2012 financial results.
The results of the company, with sites in Doncaster, Leeds and Manvers, show a 6% increase in pre-tax operating profits to £7m primarily driven by a 25% increase in export sales to the Middle East. The UK market remains challenging; however, despite a reduction in turnover Pegler Yorkshire has been able to maintain margins with efficiency improvement being the principal reason.
Pegler Yorkshire’s Finance Director, Ian Howarth commented: “Against a challenging year our business is moving in-line with expectations. Sales into the Middle East have been going from strength to strength whilst austerity measures both in the UK and Euro zone has translated into decline in the construction market.”
Ian continued: “We have continued our investment programme which has seen an injection of £7m in machinery and equipment at both our Yorkshire manufacturing sites furthermore, efficiency measures within distribution and general operations following prior year’s investments have driven our cost base down by 7.9%.”
Strategically, recognising that its core traditional products will continue to decline, Pegler Yorkshire is now looking to develop similarly dominant brand positions in its innovative, new technology connection portfolio in push and press fittings. It is now also increasingly focussing on providing fully integrated Connect and Control systems, leveraging the combined expertise of the Pegler Yorkshire organisation.
Phill Jackson, Marketing and Business Development Director for Pegler Yorkshire commented: “Recent reports have highlighted a rise in UK manufacturing output over the last few months which is a good indicator for sustained recovery in our sector. Yet, it would be difficult for this to continue if UK manufacturers don’t continue to push the boundaries of innovation, target additional markets and ultimately invest in their own business.”