Bought-out oil firm Anson hits £13.4m profits
Sep 1 2010 by Chris Knox, The Journal
A COMPANY which makes parts for the oil and gas exploration industry has increased its profits in the year since it was bought out and is now looking to continue its major investment in machinery.
Gateshead-based Anson hit a turnover of £62m in the 66 weeks to December 31, 2009, compared to £47m in the previous 52 weeks, with pre-tax profits up from £12m to £13.4m.
The unusual accountancy period is down to the takeover of the firm early last year by US oil and gas corporation National Oilwell Varco, which secured the jobs of the more than 430 staff at the company’s base at Team Valley Trading Estate, Gateshead.
The company started life almost three decades ago and also has sites in Aberdeen, Dubai, Louisiana and Houston in the US, Singapore and Moscow.
The firm, which makes specialist oil and gas valves, swivel joints and well heads among other products, said that it was helped by the strengthening of the US dollar against sterling, particularly in the first quarter of the 15-month period.
However, it did say that profitability was lower in comparison due to the additional costs incurred prior to and as a result of the takeover.
The firm’s annual results statement said: “As the price of oil has risen from the low points of 2008/2009 and the US dollar seems set to strengthen further against sterling, Anson is well placed to meet the challenges it may face in 2010.
“The major investment in machinery in 2009 is set to continue in 2010 and, combined with continued product development, is set to ensure that Anson can respond readily to the demands of the market place and increase manufacturing efficiency to remain a high-quality, price-competitive player in the global oil and gas market.”
Despite the continuing economic downturn, the firm was able to pick up enough orders from its oil and gas clients to increase its workforce over the period, which is up from 397 to 432.
The company was set up in 1981 by the Anderson family in a factory at Blaydon and within two years moved to a larger premises in the Team Valley and opened an office in Scotland.
Despite its success under the ownership of National Oilwell Varco, the company is now cautious over its fortunes over the coming months.
Its statement said: “With the current global economic situation, no more than modest growth should be anticipated for 2010.”
