Operates from centrally located freehold premises in Scotland.
Business Description
The company specialises in the manufacture and delivery of bespoke components, providing subcontracted precision machining and manufacturing services to deliver complex projects for clients in the oil and gas sector.
The company is well-known as a reliable service provider with a high level of technical competency and extensively developed in-house facilities, which has enabled it to build up strong, long-standing client relationships and earn an excellent reputation within its sector.
Now offering the company for sale as part of retirement plans, the owners0 have advised that they are willing to provide mutually agreeable handover periods to ensure the continued smooth operation of the business throughout the transition.
Financial Summary
Achieved turnover in excess of £7 million in YE20, with an adjusted EBITDA of £1.67 million.
Consistent year-on-year growth across the last three years, with turnover increasing by circa 47% between YE18 and YE20.
Gross profit margin of circa 36%, rising from 16% across a three-year period.
Investment Rationale
Strong pipeline of confirmed upcoming projects, currently valued at £2.2 million, with a steady stream of inbound enquiries from new and returning clients being received on a regular basis.
Following extensive investment in plant, machinery and facilities, the company holds assets valued in excess of £5 million, including a freehold property.
Holds a highly sought-after licence and qualifications with prominent industry manufacturers, with many clients relying on its essential, certified services.
The company has invested extensively in the development of state-of-the-art facilities, including the installation of a wide range of high-quality CNC precision engineering machinery.
Customer Overview
Operating nationally, the company provides its services for clients across a diverse range of sectors, predominantly working in the oil and gas market, with a growing presence in the defence sector and across a variety of sectors internationally.
The company currently works with 80 active clients, all of whom provide reliable, repeat business, with several relationships spanning over 10 years.
Team Overview
Long-standing and highly experienced management team in place, which has been trained by the current Directors to effectively manage and grow all areas of the business independently.
