Latest news with #JohnCrane
BBC News
21-05-2025
- Business
- BBC News
Staff at Slough-based John Crane call off strikes after pay offer
Workers at an engineering firm have called off a strike after a pay deal was Unite members at Slough-based firm John Crane were set to walk out in May and June after they rejected a pay offer of 3%.But on Wednesday, the union announced they had voted to accept an improved offer of 3.75% backdated to October regional officer Malcolm Bonnett said workers had showed "great strength and unity" on the picket line. Employees at John Crane make seals, bearings and pumps for the oil and gas industry, and had previously undertaken six days of strike action in April and were due to walk out from 27 May to 31 May and on 5 and 11 new pay agreement is part of a two-year deal, which will also see workers getting a 3% uplift next year,.It also involved John Crane dropping plans to give staff individual appraisals to determine pay going forward, Unite said."This improved offer only came about because our members were determined to fight for a better deal through industrial action," said Unite general secretary Sharon Graham Bonnett said there was "still work to be done when it comes to pay", adding the union looked forward to negotiating further with the company. You can follow BBC Berkshire on Facebook, X, or Instagram.
Daily Mail
20-05-2025
- Business
- Daily Mail
Engineer Smiths buoyed by demand for baggage scanners
Smiths Group forecasts annual sales growth towards the top end of its guidance range, thanks to a robust performance by its sensors business. The FTSE 100 engineering company reported organic turnover increased by 10.6 per cent in the quarter ending 3 May, bringing total revenue growth to 9.6 per cent over the first nine months of its financial year. Its Smiths Detection arm, which makes explosives detectors and baggage scanners, scored 'strong double-digit' percentage rate over the quarter on solid demand from the aviation sector. Smiths also achieved double-digit growth from its Interconnect segment, whose products include radio frequency components, thanks to contracts from aerospace and defence firms and a recovery in the semiconductor market. For the full year, Smiths expects its organic revenues to rise by 6 to 8 per cent and its margins to expand by around 40 to 60 basis points. All four of its businesses scored higher sales, but its John Crane arm only achieved a marginal rise due to a cyber incident in January that Smiths said had a 'longer than expected impact' on growth. Consequently, the London-based company believes the division's second-half performance will be 'broadly in line with the first half'. Smiths expects its full-year revenue to increase by 6 to 8 per cent on an organic basis and its margins to expand by about 40 to 60 basis points. The firm is currently planning a major restructuring amidst pressure from activist investors like Engine Capital to break up the business and boost shareholder returns. It expects to announce the sale of its Interconnect arm by the end of 2025, followed by either a demerger or disposal of its Smiths Detection segment. Roland Carter, chief executive of Smiths, said: 'We are executing on the strategic actions we announced in January with pace and purpose to unlock our inherent value and become a premium-rated company.' He added: 'The sale process for Smiths Interconnect is firmly underway and preparatory work for the Smiths Detection separation process is also moving forwards.' Smiths also declared that it anticipates 'limited' impact from tariffs owing to its 'local-for-local model.' About 45 per cent of its sales are US-generated. It told investors it was 'closely monitoring' the potential impact of tariffs on demand and had not observed 'any material changes in customer behaviour to date.' Smiths Group shares were 4.7 per cent up at £21.50 just before midday on Tuesday, making them the FTSE 100 Index's second-biggest riser.
Zawya
12-05-2025
- Business
- Zawya
John Crane to exhibit pioneering sensor solutions at Oman Petroleum & Energy Show 2025
Oman: Today, John Crane, a global leader in mission-critical technologies and services for the energy and process industries, and a business of Smiths Group plc, will be attending Oman Petroleum & Energy Show 2025 (OPES 2025). At this major industry event for the region, the organisation will be sharing a customised booth with its partner in Oman, Seven Seas Petroleum LLC. John Crane will be exhibiting new Sense Turbo and Sense Monitor, a pioneering suite of sensors in the heart of a dry gas seal for Sense Turbo and other plant assets for Sense Monitor. Attendees will be able to see first-hand how the technology can share real-time insights into compressor gas seal health -a vital factor in minimising methane emissions and extending equipment availability. OPES 2025 will be held at the Oman Convention and Exhibition Centre, Madinat Al Irfan in the Oman Petroleum & Energy (Blue Zone). The John Crane and Seven Seas Petroleum LLC stand number will be 3310 for those attending. Amjad AlQaqa'a, Vice President Sales Middle East & Africa at John Crane, said: 'Being able to demonstrate our industry leading technologies at a major, in-person event like OPES 2025 is invaluable. Businesses can only speak about the excellence of their sustainable products in the energy sector so much. The real necessity is to show applications in real-time, to highlight not only our continued dedication to innovation at John Crane, but also our ability to do this thanks to strong relationships with our regional partners, like Seven Seas. Together, we work to empower customers with actionable insights that reduce emissions, enhance reliability, and drive long-term value'. Harith Al Suleimany, Executive Director at Seven Seas Petroleum LLC said: 'Showcasing of innovative, cutting-edge technology at OPES 2025 is of paramount importance, as it highlights the forefront of industry advancements and sets the stage for transformative growth. We are delighted to have our esteemed partner, John Crane, join us in this initiative, underscoring our shared commitment to Oman and serving our customers. With a suite of new technologies and services on display, we anticipate high levels of interaction and engagement, which will open new opportunities for significant reductions in both CAPEX and OPEX for greenfield and brownfield industrial assets. This collaborative effort aims to drive efficiency, sustainability, and competitive advantage in the industry, making OPES 2025 a pivotal platform for innovation and growth'. Please see the following link for more details on what to expect from the event: Oman Petroleum & Energy Show 2025
BBC News
26-03-2025
- Business
- BBC News
Staff at Slough-based John Crane set to strike in April and May
Employees at an engineering firm are set to stage a series of strikes over pay from next Unite members at Slough-based firm John Crane are set to walk out for six days across April and May, after they rejected a final pay offer of 3%.Unite said it followed a decade of below-inflation pay increases, and the previous CEO being awarded a 22% pay rise last year.A spokesperson for John Crane said they were "committed to engaging with Unite to reach a resolution". The John Crane workers make mechanical engineering seals for bearings and pumps for the oil and gas action is set to take place on 3, 10, 17, 22 April, and 1 and 6 general secretary Sharon Graham said the workers had "the full support of Unite"."It is a disgrace that John Crane's loyal workforce have been subjected to a decade of below-inflation pay increases especially when senior management are on extremely high salaries," she regional officer Malcolm Bonnett said it was the first time the workers had gone on strike."The industrial action is a direct reaction to management's refusal to offer our members a meaningful pay increase," he said."Strike action will inevitably cause disruption to the company's supply chains but this is entirely of TJ Crane's own making."The John Crane spokesperson said: "While we respect the right of our employees to take industrial action, we are focused on maintaining open communication and minimising any disruption to our operations and customers."We will continue to engage with Unite in good faith to find a constructive way forward." You can follow BBC Berkshire on Facebook, X (Twitter), or Instagram.
Yahoo
26-03-2025
- Business
- Yahoo
Smiths Group PLC (SMGKF) (H1 2025) Earnings Call Highlights: Strong Organic Growth and ...
Organic Revenue Growth: 9.1%, including acquisitions increased to 10.2%. Reported Revenue Growth: 6.7%, impacted by adverse foreign exchange. Operating Profit Growth: 12.6% organic, 9.5% reported, with a margin expansion of 40 basis points to 16.7%. EPS Growth: 14%, enhanced by lower tax, interest charges, and share buyback program. Cash Conversion: 94%. Return on Capital Employed: 17.1%. Dividend Increase: 5% to 14.23p. Share Buyback Program: Increased to GBP500 million. Free Cash Flow: GBP143 million, up nearly 30% from last year. John Crane Organic Revenue Growth: 3.8%. Flex-Tek Organic Revenue Growth: 2.5%, with acquisitions adding 4.4%. Smiths Detection Organic Revenue Growth: 15.3%. Smiths Interconnect Organic Revenue Growth: 26.8%. Full-Year CapEx Expectation: Around GBP100 million. Acquisition of Duc-Pac Corporation: GBP32 million at 7.2 times EBITDA. Warning! GuruFocus has detected 6 Warning Sign with SMGKF. Release Date: March 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Smiths Group PLC (SMGKF) reported strong financial performance with organic revenue growth of 9.1% and operating profit growth of 12.6% on an organic basis. The company increased its dividend by 5% and expanded its share buyback program to GBP500 million, enhancing shareholder returns. Smiths Detection and Smiths Interconnect showed significant growth, with Detection's revenue increasing by 15.3% organically and Interconnect's revenue growing by 26.8%. The company is executing a strategic plan to focus on high-performance technologies, which includes the separation of Smiths Interconnect and Smiths Detection to unlock value. Smiths Group PLC (SMGKF) reaffirmed its fiscal-year '25 guidance, which has been raised twice since last September, indicating confidence in future performance. The company experienced a cybersecurity incident in January, impacting John Crane's performance and causing a 1% to 2% reduction in growth for the division. Adverse foreign exchange effects led to a lower reported revenue growth of 6.7%, compared to the organic growth rate. The mix of business and product lines led to a 60 basis point contraction in margins, particularly affecting John Crane and Flex-Tek. The US construction market remains uncertain, affecting Flex-Tek's growth outlook, with new housing permits and starts showing declines. The separation process for Smiths Interconnect and Smiths Detection involves complexities and potential costs, with the company needing to ensure a smooth transition. Q: Can you quantify the impact of the cyber incident on John Crane and discuss the recovery outlook? A: Roland Carter, CEO: The cyber incident impacted John Crane significantly, reducing growth by 1% to 2%. We expect a stronger second half as recovery progresses, but it will take time due to the vertically integrated nature of the business. Aftermarket recovery is underway, and we anticipate improved performance in H2. Q: What are the plans for the demerger or sale of Smiths Detection and Smiths Interconnect? A: Roland Carter, CEO: We aim to announce the sale of Smiths Interconnect by the end of the calendar year, with Smiths Detection to follow. We are open to both demerger and sale options, focusing on value creation. The processes are on track with governance and advisory structures in place. Q: How do you view the growth assumptions for FutureSmiths, and what are the margin improvement prospects? A: Roland Carter, CEO: We target a 5% to 7% organic revenue growth and a 21% to 23% margin. Both John Crane and Flex-Tek have opportunities for margin expansion through pricing, efficiency, and innovation. The focus on these businesses will drive technical and commercial advancements. Q: Can you elaborate on the performance and outlook for Flex-Tek, especially in the industrial segment? A: Roland Carter, CEO: Flex-Tek's industrial segment grew 2% despite a subdued construction market. We expect stronger growth in H2, driven by industrial heat and aerospace segments. The US housing market recovery will be a key driver, and we are well-positioned to capitalize on it. Q: What is the sustainability of the Interconnect margin, and how are you managing US tariffs? A: Julian Fagge, CFO: Interconnect's margin performance was strong, and we expect it to remain robust in the second half. Regarding US tariffs, our local-for-local approach mitigates impacts, and we have plans to address any changes in the tariff landscape. Q: How is the semiconductor segment performing within Interconnect, and what is the visibility on future growth? A: Julian Fagge, CFO: The semiconductor segment, particularly in high-performance GPUs and AI, performed strongly. Although the market is short-cycle, underlying conditions remain positive, and we are well-positioned with our advanced technology offerings. Q: What is the status of the M&A pipeline, and how are you managing capacity for acquisitions amid other initiatives? A: Roland Carter, CEO: We have a focused pipeline for bolt-on acquisitions, particularly in Flex-Tek and John Crane. Dedicated teams manage these acquisitions, ensuring we maintain capacity for strategic initiatives like demergers and the acceleration program. Q: Can you provide an update on the divestment process for Interconnect and Detection? A: Julian Fagge, CFO: The divestment process is proceeding as planned, with strong interest expected. We are confident in executing the transactions as committed, focusing on maximizing value. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
