Partner Article

Wellstream sees future pipeline of business in Brazil

Oil and gas pipeline maker Wellstream has set out plans for ongoing growth in Brazil after revealing a slump in profits despite record revenues of £400m.

The Tyneside plc said its annual profits fell from £77.5m in 2008 to £42.8m in the 12 months to the end of December last year while sales climbed by more than 8% to £400.7m.

Earlier this year the company announced plans to cut 200 jobs at its Walker headquarters.

However the firm is now looking towards the recovery and is eyeing “significant growth” in Brazil.

The company said the outlook for the sector remains positive despite short term uncertainty outside Brazil and its focus is on developing new technology to benefit from this.

Acting CEO Alasdair MacDonald, said: “We are pleased to report another year of strong results with record revenue, significantly improved operating cash flow and reduced net debt.

“Despite difficult market conditions in 2009, we experienced a positive performance across the Group particularly in Brazil.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .