TPT March 2013

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Furnaces and heat treatment
March 2013 85
Forgemasters report increased
profits despite difficult
trading conditions
ENGINEERING company Sheffield
Forgemasters International Limited
(SFIL) has reported increased profits
with strengths in offshore, power
generation and defence markets.
With significant pre-planned
expenditure on research and develop-
ment, training and apprenticeships,
continued capital expenditure and
environmental improvements, the
company reported operating profits of
£5.4m for the year ending 30 June 2012.
A concentration on improved
productivity and added value has led
to a turnover totalling £106.8m despite
the challenging, weak worldwide market
conditions, acute pricing pressures
from international competitors and the
continuance of the global economic
recession.
Prospects for the year ending 30
June 2013 already show progress on
last year, with a high level of optimism
contract wise.
Tony Pedder, chairman of SFIL, said:
“It is very pleasing to report that despite
continuing difficult conditions affecting
most of our markets, operating profit
for the year increased with our turnover
remaining virtually unchanged from
last year. In the context of the global
economy and our industry, this is a very
positive result.
“Our strongest markets continue to
be the offshore oil and gas, where our
project management company, Vulcan
SFM Limited, has been particularly
active and successful in meeting the
complex needs of our customers, but
power generation and defence sectors
are also strong.
“Demand in most of our other markets
remained subdued and consequently,
margins have remained tight.”
Mr Pedder added: “As well as
continuing to strive to meet the most
complex needs of our customers, we
have responded to these challenging
conditions by focusing our attention on
costs and efficiencies.
“Our senior team has constantly
sought to adopt lean manufacturing
techniques, supply chain improvements
and a sound control environment, to
good effect.
“We have also continued to focus our
efforts on research and development.
We believe it is vital to keep pushing
the boundaries of our technology and
expertise in order to keep enhancing
our reputation as a leader in our field. All
our research and development activity
is now being channelled through our
new subsidiary, Sheffield Forgemasters
RD26 Limited.
“RD26 will provide services to all our
Group companies as well as to third
parties. We see this as a rapidly growing
part of the Group in the years ahead.”
In a year when SFILwon the European
Business Award for Import/Export from
more than 15,000 entries, Mr Pedder
was keen to thank staff for their loyal
support and input.
He added: “As ever, the skills of our
workforce remain one of the company’s
major assets.
“We will continue to invest in
enhancing that skill base and this is vital
in ensuring that we constantly meet the
challenges of what is still, and looks
likely to remain for some time, a difficult
trading environment for the Group and
its competitors.”
Sheffield Forgemasters
International Ltd – UK
Fax: +44 114 251 9013
Email:
Website:
Three roller continuous rolling mill
starts operation in Xinjiang China
AN OCTG factory built by Bazhou
Seamless Pipe Limited (BSP) has
been put into operation in Xinjiang,
China. Taiyuan Tongze Heavy Industry
Co Ltd is the general contractor for the
hot rolling line, which combined with
designing, machining,
manufacturing, installation
and commissioning.
The hot rolling pipe
specification is Φ127mm
to Φ355.6mm, wall thick-
ness is 5mm to 50mm, and
annual capacity is 700,000
tons. The main equipment
includes billet preparation,
Φ42m mid-diameter rotary hearth
furnace, cone-type piercing mill, five
stands three roller continuous rolling mill
with stand exchange at side, five stands
extractor, fourteen stands sizing mill and
cooling bed.
The whole hot rolling line equips with
hydraulic servo press down for roll gap
setting, pipe end reduction, product
quality control and tool life control
system. Taiyuan Tongze Heavy Industry
Co also supplied two pre-finishing lines,
finishing line and heat treatment line.
Taiyuan Tongze Heavy Industry Co
– China
Website:
Φ42m mid-diameter rotary
hearth furnace
Hot rolling mill