Weir Group PLC (The)

WEIR

Equity

ISIN GB0009465807 / Valor 94339

LSE London Stock Exchange, SETS (2024-12-23)

GBP 21.82-1.00%

Weir Group PLC (The)
UMushroom community rating:

0.00 0 votes No rating yet

NegativeNeutralPositive

About company

Weir Group PLC is a global engineering company that provides processing equipment, wear parts, and equipment attachments for the quarrying, minerals excavation, and processing industries. Their products are backed by a comprehensive global service center network, ensuring customers receive ongoing support and maintenance. The company's focus on delivering high-quality solutions for the mining and minerals sector has established them as a trusted partner in the industry.

Summarized from source with an LLMView SourceSector: Industrials

Revenue and Orders

In the first half of 2024, Weir Group PLC reported a revenue of £1,207 million, which represents a 3% decline on a constant currency basis compared to the same period in 2023. The company experienced a 2% decrease in orders, totaling £1,253 million. Despite these declines, the company noted high levels of activity in the hard rock mining sector, with strong demand for aftermarket spares and expendables.

Operating Profit and Margins

Weir Group PLC achieved an adjusted operating profit of £215 million in the first half of 2024, marking an 8% increase on a constant currency basis from the previous year. The adjusted operating margin improved to 17.8%, up 180 basis points. This growth was attributed to strong execution and the benefits of the company's Performance Excellence program.

Profit Before Tax and Earnings

The company's adjusted profit before tax rose by 3% to £193 million, while the statutory profit before tax decreased by 3% to £165 million. Adjusted earnings per share remained stable at 53.6p, while statutory earnings per share fell by 7% to 45.3p. The decline in statutory figures was partly due to the absence of revenue from Russia following the company's exit from the market.

Cash Conversion and Dividends

Weir Group PLC reported a free operating cash conversion rate of 68% for the first half of 2024, an improvement of 17 percentage points from the previous year. The company declared a dividend per share of 17.9p, a slight increase from 17.8p in the first half of 2023, reflecting its commitment to returning value to shareholders.

Outlook and Strategic Initiatives

Looking ahead, Weir Group PLC reiterated its full-year guidance for operating profit and cash conversion. The company highlighted a growing order pipeline for the second half of the year, including a £53 million greenfield contract awarded in July. The company remains focused on its Performance Excellence program and strategic growth initiatives, aiming to drive revenue growth and expand operating margins.

Summarized from source with an LLMView Source

Key figures

17.0%1Y

26.5%3Y

41.7%5Y

Performance

21.8%1Y

29.6%3Y

39.5%5Y

Volatility