The multi-million pound contract to refurbish the iconic Forth Rail Bridge was among several helping industrial services company Pyeroy Group boost profits in the last year.
Despite tough trading conditions, the Gateshead-based firm has recorded pre-tax profits of more than £4.5 million for the period January to December 2008 – almost 8% up on the previous year.
The news comes as Pyeroy reports strong performances across most sectors of its operation, contributing to an extremely strong order book and sales of more than £54 million in 2008.
The continuing contract to repaint the Forth Rail Bridge is part of a rolling civil engineering and structural refurbishment programme being undertaken on the bridge by main contractor Balfour Beatty for Network Rail.
It’s one of several high profile projects the firm is involved in for major national clients involved in infrastructure and utilities.
Others include a £6 million contract to refurbish Blackfriars Bridge and a £6.5million contract to refurbish Tower Bridge and Southwark Bridge for the City of London.
Elsewhere, there’s a £2.5 million access and insulation contract for the new £380 million Marchwood Power station in Southampton and a £1.3 million contract to refurbish an offshore platform on behalf of E.ON, one of the UK’s largest utilities companies.
Pyeroy’s expertise in refurbishing large ships has led to further success for the expanding Marine Division including a £1 million contract for access and containment systems used in the refitting of the submarine, HMS Vigilant, at Devonport Dockyard.
A £2 million contract to repaint two Royal Fleet Auxiliary ships, RFA Fort Rosalie and RFA Fort George, was completed in less than six months, while the firm is in line to secure millions of pounds of new work as part of the team building the Royal Navy’s next generation of aircraft carriers.
It has formed a joint venture company with Cape Industrial Services Ltd, called Ship Support Services Ltd, which has been named as the preferred bidder by BVT Surface Fleet to undertake the access and specialist coatings work on the £3bn carriers’ contract.
The contract is likely to last nine years and will create or maintain hundreds of jobs within Scotland, the North East of England and Portsmouth.
The company has also seen several key appointments in the last year which have brought new expertise to the business, providing the foundation for growth in the next few years in the industrial process, power generation, nuclear and renewable energy industries.
Hugh Pelham said: “The last year has seen us secure several high profile contracts, cementing our reputation as a leading provider of specialist industrial services.
“We have a highly trained and dedicated work force in place, which together with a healthy order book and a strategy of adding value sees us well placed to ride out the toughest recession in decades and emerge strongly, ready to take advantage of the recovery.”