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Orders on the up at Weir

First-half results from Scottish engineering group Weir were held in check by South Africa's mining strike and the strength of sterling, but oil and gas receipts are on the up.
August 1, 2014

Improving oil and gas receipts boosted half-year results at Scottish pump manufacturer Weir (WEIR), but that was more than offset by currency movements. Adjusted operating profits fell 7 per cent to £201m, but would have grown 4 per cent without the foreign exchange hit.

IC TIP: Hold at 2561p

Weir previously flagged weak demand for its kit from the retrenching mining industry, which was exacerbated by the impact of prolonged industrial action in South Africa. That weighed on the group margin, which fell from 18.1 to 17.6 per cent.

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