Hull’s Ideal Heating has seen sales increase 15 per cent, taking turnover to £351.9 million.
Higher volumes were credited with the significant uplift, with major expansion of the National Avenue manufacturing facilities ongoing as it gears up to play a part in the greening up of the home heating. Operating profits were also buoyed in 2021, coming in at £66.5 million and sealing a further double-digit rise of 10.1 per cent, albeit with a slight squeeze on margins.
Direct cost rises and further investment in research and development contributed to the dip of 0.8 per cent, as the “business continues to focus on developing products for the changing heating market”.
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In his strategic report accompanying the results for the calendar-aligned financial year, Steven Hairsine, director and chief financial officer for parent company Groupe Atlantic’s UK division, said: “The strong market at the end of 2020 continued into 2021, leading to a 15 per cent increase in turnover.”
Employee numbers were up from 844 to 891 in the period, a 5.6 per cent increase. Mr Hairsine said the additions would “support the business growth and future development”.
It was a strong return to a familiar tale of growth at the long-standing business, where the boiler specialist is completing a £16 million construction programme to accelerate its role in heat pumps and other low and zero carbon solutions for UK homes. A training academy for installers is also being developed at Bridgehead Business Park, Hessle.
A five per cent hit to the top line had been swallowed in 2020 as the Covid outbreak saw the market for new home building and most manufacturing paused. The results just published show the business has surpassed the £322.4 million record seen in 2019.
Allied to the big build on the existing footprint in Hull - a further 13,000 sq m of manufacturing and warehousing space is being created - a training academy for installers is also being developed at Bridgehead Business Park, Hessle by the French-owned Groupe Atlantic entity.
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