Capital Markets Day Presentation and Current Tr...
Capital Markets Day presentation and current trading
The Weir Group PLC ("Weir" or "the Group") will today hold a Capital Markets presentation for shareholders and analysts in London, focusing on the Minerals division which represented nearly half of Group revenues in 2014. The presentation will provide an overview of how the division is extending its market leadership positions, demonstrating continued resilience in challenging market conditions and highlighting a range of attractive future expansion opportunities.
Weir will also confirm market conditions in the Group's Minerals and Power & Industrial divisions were consistent with the Interim Management Statement published on 29 April (for the quarter ended 3 April 2015). The Oil & Gas division continued to experience a sequential decline in activity during April and May. Divisional order input over the first five months of 2015 was 34% lower than the prior year period, with weak trading in the upstream businesses (Pressure Pumping and Pressure Control) reflecting falling drilling and completion activity combined with an early and extended spring break-up in Canadian markets. Pressure Pumping continued to be impacted by customers destocking and transferring equipment from idle frac fleets instead of buying replacement components. In line with actions taken by a number of employers in the North American oil and gas industry to reduce costs, Weir temporarily suspended operations for a week at its Fort Worth, Texas facility.
These trends, combined with the progressive realisation of benefits from the Group's efficiency measures, are expected to contribute to Group full year reported revenue, margins and profit being weighted more towards the second half than in prior years.
Keith Cochrane, Chief Executive, commented:
"As indicated in our trading statement in April, the second quarter is proving to be very challenging for the Oil & Gas division with the US rig count continuing to decline, albeit at a slower rate over the past month. Minerals, the Group's largest division, continued to demonstrate resilience in subdued markets and will today outline details of its strategic progress and plans for future growth."
A webcast of the Capital Markets Day presentation will be available on the Group's website (weir.co.uk) from 8pm (BST) on 10 June 2015.
The Group will publish its interim results, for the period to 3 July 2015, on 30 July 2015.
- Ends -
About The Weir Group PLC
Founded in 1871, The Weir Group PLC is based in Glasgow, Scotland and is one of the world's leading engineering businesses. Weir designs, manufactures and services innovative solutions which make our minerals, oil and gas and power customers more efficient. This is recognised in the global leadership positions we have developed in our core markets.
The Group aims to be a partner of choice to our customers with a worldwide network of around 200 manufacturing and service facilities. The business has a presence in more than 70 countries, with over 15,000 people around the world working in three divisions: Minerals; Oil & Gas; and Power & Industrial.
Annual revenues were more than £2.4 billion in 2014, of which almost two thirds came from the provision of services and aftermarket support.
| Enquiries: | |
| Investors: Stephen Christie | +44 (0) 141 637 7111 / +44 (0) 7795 110456 |
| Media: Raymond Buchanan / Ross Easton | +44 (0) 7713 261447 / +44 (0) 7920 190994 |
| Brunswick: Patrick Handley / Nina Coad | +44 (0) 20 7404 5959 |
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: The Weir Group PLC via Globenewswire
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