Fracking water projects help offset municipal decline for Amiad
Water treatment and filtration solution company Amiad has reported broadly flat revenue in 2015 but said it expects the municipal sector to return to growth...
TEL AVIV, Israel - Water treatment and filtration solution company Amiad has reported steady revenues in 2015 but said it expects the municipal sector to return to growth.
In its 2015 financial results, the firm showed revenue remained broadly flat at $118.8 million, compared to £118.5 million the previous year.
Revenue from municipal sales declined to $8.9 million compared with $10.7 million in 2014, which Amiad put down to a “lack of investment in major infrastructure projects by local authorities”.
The Oil & Gas industry proved fruitful for the company, with revenues growing to $11.6 million from $7.1 million in 2014.
This was attributed to sales from injection water and fracking water projects that were awarded during 2014 and completed in 2015.
In terms of global markets, Amiad saw the largest growth in EMEA where sales increased by 15% due to “large projects carried out in the irrigation and oil & gas segments”.
Arik Dayan, chief executive officer of Amiad, said: “Irrigation continued to be the main growth segment along with Oil & Gas also showing good growth. The global macro-economic conditions continued to have an impact on large infrastructure municipal projects and the industrial segment suffered primarily due to slowdown in the mining industry in Australia and China.”
The CEO added: “The municipal segment is anticipated to return to growth, and there are increased orders from India and China in the industrial segment compared with last year. In the Oil & Gas segment, 2015 was an exceptionally good year, however, in 2016 we expect a reduction in projects due to the effect on the industry from lowered oil prices.”