The Weir Group Plc’s (LON:WEIR) interim management statement has reported a 16% rise in third quarter orders, from continuing operations.
Including the acquired ESCO business third quarter orders were up 40% versus the comparative period of last year.
READ: Weir Group shares drop as it flags “considerable softening” in demand
Overall, the performance was helped by the acquired assets as well as growth for both the minerals and oil & gas divisions - in minerals the original equipment orders up 19% and 20% for aftermarket, while hydrocarbons saw a 10%.
Weir cautioned, however, that there was a “sequential slowdown” in the North American oil and gas business though it anticipates this will be temporary.
Oil and gas earnings (EBITA) is anticipated at £90mln to £100mln.
"Group orders continued to grow strongly in markets that have good long term prospects,” said Jon Stanton, Weir chief executive.
In mining, our largest market, we benefited from our global presence as we worked closely with customers to help them increase production and improve productivity within current operations.
Quotation activity for expansion projects also remained strong, reinforcing our view that we are in the early stages of a multi-year capex growth cycle.
Weir shares rose 3.44% in Tuesday’s early deals to trade at 1,564p.