London - John Crane, the rubber and sealing subsidiary of Smiths Group reported an excellent year, according to the Smiths Group annual results announcement.
John Crane saw sales rise 9 percent to Â£532 million (â‚¬760 million) in the 12 months to 31 July, 2007. Operating profit increased 22 percent to Â£75 million.
Specifically, said the statement, in oil & gas, a 25 percent increase in its supply of seals to Original Equipment Manufacturers was well in line with the positive market trend. Projects contributing to this growth were new ethylene cracker plants in China, gas extraction and processing in the UAE, and ethane cracker and petrochemical plants in Saudi Arabia.
Strong demand enabled John Crane to pass on commodity price increases. The benefit of volume, together with cost savings, generated the strong profit growth. Margins rose to 14.1 percent.
The acquisition of CDI in March 2007 extended John Crane's products and services in the expanding upstream market. John Crane said CDI is a leading provider of sales and service for pumping equipment that aids production from oil and gas wells, a technology known in the industry as artificial lift.
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Press release from Smiths Group