Electro mechanical engineering firm Houghton International has surpassed its £5m turnover target and revealed £1m investment in its Newcastle operation.
The Walker riverside-based firm said a programme of infrastructure improvements over recent years has helped to drive sales.
Announcing its results for the financial year to January 2015, Houghton said growth had come from new sales territories in the UK and overseas.
Long term contract wins in the rail sector and continued growth in its core High Voltage coil business had contributed to the results.
Houghton is now looking to hit £20m turnover by 2020 and anticipates recruitment of around 150 employees along with £2m investment in research and development to lead this ambition.
Michael Mitten, chief executive officer of Houghton International, said: “In addition to our forecasted sales, profits in 2014 were bolstered by several large motor rewind projects for overseas power producers. We have also secured some strategic long term contracts that put us in a robust financial position moving forward.
“To exceed our target and break the £5m barrier for the first time is a fantastic achievement, especially in our 30th year in business.
“We plan to invest a further £1m into the business this year, financing new machinery, people development and factory enhancements to enable us to compete in developing markets and continue to meet our customer’s needs. This supports further double digit growth for 2015.
“We’ve set the challenge to hit £20m turnover by 2020 and are confident that our highly skilled workforce, innovative culture and reputation for quality will help us grow the business even further, both in the UK and further afield.”
Houghton International has also committed to taking on six new apprentices this year, following the graduation of four of its current recruits with HNC qualifications.
Mr Mitten’s parents, Ron and Christine founded Houghton International in 1983. The company has since grown to serve over 200 customers worldwide.
The firm current employs 80 staff who specialises in the repair, maintenance and life extension of electrical mechanical assets for the likes of the power generation, renewables, and marine industries.