JCB, the renowned Staffordshire-based manufacturer of heavy machinery, has reported a significant surge in profits despite a global slowdown in the machinery sector.
The company posted a 44% increase in pre-tax profits, reaching £806 million last year, up from £558 million in 2022. Revenue also saw an impressive 14% rise, totalling £6.5 billion, as machine sales soared to 123,228 units, compared to 105,148 the previous year.
While the global construction and agricultural machinery market contracted by 4.3%, JCB defied the trend and remained debt-free, marking it as one of the UK’s top-performing manufacturers. The company’s growth was particularly strong in North America, its largest market, and India, while it gained market share in the UK despite a flat performance domestically.
Graeme Macdonald, JCB’s CEO, acknowledged challenging conditions in the UK and Europe, particularly in Germany, where economic activity had sharply declined. The slowdown in UK housebuilding had also affected machine utilisation rates. However, the company’s focus on innovation, including its new JCB Pothole Pro and ongoing development of hydrogen combustion engines, has positioned it for future growth.
Founded in 1945, JCB is chaired by Lord Bamford and employs 15,000 people globally, with manufacturing operations across four continents.