Weir lifts payout, flags visible and well supported future sale growth

Weir Group PLC on Wednesday reported solid full-year results, albeit a touch below consensus, with profit and revenue edging higher reflecting strong aftermarket demand.

The Glasgow-based engineering company said pretax profit from continuing operations rose 5.3% to £365.6 million in 2025 from £347.1 million the year prior.

Adjusted operating profit grew 10% to £518 million from £472 million on year, in line with consensus, with an adjusted operating margin of 20.2%, improved from 18.8%.

Revenue from continuing operations rose 2.4% to £2.57 billion from £2.51 billion, or by 6% at constant exchange rates, slightly below £2.58 billion consensus.

Orders increased 6.6% at constant currency to £2.60 billion from £2.44 billion, below £2.61 billion consensus.

Orders in the fourth quarter of £490 million were broadly flat year-on-year from £496 million.

Full-year book-to-bill was 1.01 times, with fourth quarter book-to-bill of 0.89 times, down from 1.01 in the prior quarter.

Earnings per share decreased 21% to 95.7 pence from 121.1p on-year. Adjusted EPS rose 3.2% to 123.8p from 120.0p, below 124.2p consensus.

Weir said aftermarket orders increased by 8%, driven by favourable mining market conditions, and incremental contributions from acquisitions completed during the year.

Demand was particularly strong in North America and South America across both divisions, reflecting high levels of mining activity in these regions.

Original equipment revenue grew by 2%, underpinned by shipments for medium to large-sized projects in minerals and positive underlying demand from brownfield optimisation.

Looking ahead, Weir said future sales growth remains ‘highly visible and well supported’.

In addition, the firm has upgraded total ’Performance Excellence’ savings target to £90 million from £80 million, with the final £30 million of incremental savings expected in 2026.

Total costs for this programme are £113 million, less than the prior estimate of £120 million.

Weir expects business performance to support margins sustainably above 20% from 2026.

‘The favourable mining backdrop, combined with the delivery of the remaining Performance Excellence initiatives and continued growth in Software Solutions, underpin our confidence in delivering mid-single-digit organic revenue growth and c.50bps of operating margin expansion in 2026, Weir said in a statement.

In addition, Weir said it expects free operating cash conversion of 90% to 100%, in line with our medium?term guidance, supported by delivery of working capital improvements from our lean operating model,’ the company added.

Weir declared a final dividend of 22.1 pence per share, up 6.3% from 20.8p the year prior. This took the full year dividend to 41.7p per share, up 4.3% from 40.0p a year ago, and in line with the policy to pay out 33% of adjusted EPS.

‘I am encouraged by the strength of our business. Our market?leading hardware portfolio and growing suite of software solutions position us to benefit from the long?term structural tailwinds across the mining industry,’ said Chief Executive Jon Stanton.

Shares in Weir fell 7.5% to 3,148.00 pence each in London on Wednesday morning.

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