Despite lower economic activity in the tubemaking and tubes services industry, Van Leeuwen Pipe and Tube Group’s 2019 financial performance improved compared to 2018, Kallanish learns.
2019 was a transformational year for the Dutch group, marked by the acquisition of Benteler Distribution, which was closed at the end of November 2019. The deal will double the company’s total sales volume.
Van Leeuwen’s turnover increased 25% on-year in 2019 to €787 million ($851m). Operating profit improved almost 26% to €17m and net profit increased to €10.1m from €9.7m. Excluding the contribution of the acquisition of Benteler Distribution, Van Leeuwen’s turnover would have risen 19% to € 750m, the company details.
Demand in the building and construction segments in Europe was excellent throughout the year, but slowed down towards the end of the year, specifically in the equipment manufacturing segment, the company states. Business activity in the energy segment improved significantly in the second half of the year, though.
The group executed large projects in North America, Asia and Europe. At the start of 2020, the order book for energy projects was at a good level, Van Leeuwen notes. However, the firm gives no indication of how the coronavirus is immediately affecting its business and outlook.