11 July, 2017
‘Good progress’ for textile manufacturer as sales rise
Sales have grown at James Dewhurst Group with the Lancashire-based technical textiles manufacturer’s UK operations reporting “good progress” in the year leading up to its takeover by a Belgian company.
The group designs and manufactures high-performance engineered reinforcement fabrics with production facilities at Altham in Lancashire and Georgia in the US.
In May 2017 it was acquired in a £44m deal by Belgium-based Sioen Industries from AAC Capital Partners, the Brierley family trusts, and the management of James Dewhurst.
According to recently filed accounts for parent company Jade Equity Ltd, turnover grew to £39m in the year ending 31 March 2017, up from £36.4m in 2015/16.
Pre-tax losses reduced to £1.3m from £8m the year before with EBITDA up by £1.3m to £5.7m.
In their report accompanying the results, the director said that the group had “continued to reap the rewards” of its strategy, boosted by the “general recovery of the European and US economies”.
They said: “Overall the UK operations have made good progress in the year with a continuing improvement in quality, focus on reduction in waste and increases in capacity and customer service levels. Success in new product development opened up new market opportunities in Europe particularly in one of our key sectors.”
However, James Dewhurst reported a “more difficult year” in the US with some of its key customers failing to recover from a reduction in business.
Operations were also affected by staff turnover and a subsequent reduction in experience levels at the plant. A recovery plans has been implemented and the facility is said to have “responded well”.
The directors added: “In summary, 2016/17 was a successful year for the group and given the improvements made and current order book the outlook for 2017/18 is positive.”
Source: Insider Media