As the UK started to recover from the recession and austerity years, Senior had high hopes for a more prosperous 2014 for the construction industry.

So much so that the company made a commitment to substantial investment in machinery and software to cope with the expected upturn in business.

With only days left until we welcome in 2015, we take a look back at some of the highlights of 2014 and see how both Senior and the construction industry fared in 2014.

Continuing growth for the construction industry

According to the third quarter Construction Trade Survey, there was another rise in construction activity in the third quarter of 2014, which was the sixth consecutive quarterly rise in activity. Although private housing activity slowed in Q3, growth in the private commercial and industrial sectors more than compensated for this. The good news seems set to continue with future orders and enquiries indicating that activity will rise again in 2015.

The Construction Products Association autumn forecasts is similarly optimistic predicting that construction output will grow 4.8% in 2014 and 5.3% in 2015.

October data from Markit/CIPS UK Construction PMI survey also shows a strong overall increase in construction output, with higher levels of business activity now having been recorded for 18 consecutive months, the longest period of continuous growth since the global financial crisis of 2007/8. Staffing levels too are on the rise, reflecting the strong pipelines of existing work and confidence in the future business outlook.

Increased sales for Senior

This growth in the construction industry is borne out by results for Senior Architectural Systems. Turnover for the financial year ending June 2014 increased 3% on 2013 figures to £26.2m, with profit up 4% to £1.1m. Growth continues to accelerate with turnover up an impressive 5.6% for the first quarter of the new financial year.

Sales Director James Keeling-Heane, is confident that turnover will increase even more significantly over the next 12 months “Along with the 5% increase in construction output predicted for 2015, we have invested heavily in the development of several new products which will be launched early in 2015. These innovative additions to our already extensive product range are set to revolutionise the fenestration market and will give a considerable uplift to our 2015 sales figures.”

Investment secures the future

Throughout 2104 Senior continued to plough profits back into the company to improve plant, machinery and software enabling a higher throughput plus improved product quality and customer service.

• £1m invested in glazed unit manufacture at Senior Glass Systems in Scarborough. A new heat soak oven and commercial furnace will boost production by up to 60%.
• £500,000 invested in new product development resulting in the launch of the Hybrid Frameless Casement window and the SPW501 door in 2014, with more exciting and innovative ultra-high performance systems previewed at FITSHOW 2014 to be launched in 2015. 
• £250,000 invested in a biomass boiler and chipper to heat the Denaby Warehouse from waste packaging and timber.
• £200,000 invested at Denaby on a new horizontal paint line which will lower costs by reducing powder coating usage and speed up the paint process.

Focus on the environment

As predicted, 2014 saw a focus back on environmental issues.

• Energy saving products – Once again the SPW600e series of thermally enhanced aluminium windows and doors proved a best seller whilst sales of the beautiful sustainable Hybrid timber composite door more than doubled.
• Waste reduction – Senior’s investment in a new Biomass boiler and horizontal paint line will reduce waste and save energy, whilst purchase of Mitsubishi Outlander PHEV plug-in hybrid electric cars for Senior’s sales representatives and installation of charging points is already having a positive impact on the environment.

Summing up 2014, recently promoted MD Mark Wadsworth said “2014 has been an exciting and rewarding year for Senior. By investing wisely, we have capitalised on the upturn in the economy and are now extremely well placed with new products and improved facilities to make the most of the expected growth in the construction industry in 2015.”