24th Apr 2025 09:30
(Alliance News) - Weir Group PLC on Thursday said it was "delighted" with first quarter trading which leaves it on track to meet full-year targets.
The Glasgow, Scotland-based engineering company said it has made a "strong start to the year, mining markets are positive, and the business is executing well."
Group orders rose 5% in the first quarter year-on-year on a constant currency basis, Weir said, while the year to date book-to-bill increased to 1.11.
As a result, Weir said it currently sees full year trading in line with expectations for growth in constant currency revenue, operating profit and operating margin.
In 2024, reported revenue of GBP2.51 billion, adjusted operating profit of GBP472 million, and an adjusted operating margin of 18.8%.
Shares in Weir were flat at 2,202.00 pence each in London on Thursday morning. The wider FTSE 100 index was down 0.3%.
The firm said it expects to be able to mitigate the effect of trade tariffs on guidance, albeit the broader economic impact of current US trade policy remains uncertain.
Steps have already been taken to adjust its global supply chain, Weir said, including redirecting US originated orders and "proactively addressing pricing with our customers".
Chief Executive Jon Stanton said: "I'm delighted with our performance in the first quarter. We began the year with a record pipeline, which is converting in line with our expectations as customers capitalise on supportive prices for commodities enabling the energy transition."
Weir said group original equipment orders rose 5% in the quarter with underlying demand for OE within brownfield projects continuing at strong levels, including several large OE orders.
Increases in mine production and installed base expansion supported strong growth in Minerals orders of 9%, the company added.
Weir said cumulative savings from its "performance excellence" programme reached GBP35 million in the quarter, leaving it "firmly on track" to deliver its 2026 target of GBP80 million in cumulative savings.
Further, Weir said the GBP657 million acquisition of Micromine announced alongside full-year results in February is expected to close next week. Weir is buying Perth, Australia-based Mining Software Holdings Pty Ltd, known as Micromine, for GBP657 million.
By Jeremy Cutler, Alliance News reporter
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