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Last Updated: Friday, 7 November, 2003, 18:12 GMT
Profits to double at Dyson
Washing machine
James Dyson shows off his revolutionary washing machine
Profits are set to double at vacuum cleaner group Dyson.

The Wiltshire-based company has announced it expects to report pre-tax profits of 40m for 2003, up 21.7m on last year.

It says the sharp increase on 2002's 18.3m figure has been driven by a strong growth in worldwide sales.

Dyson, which now also makes washing machines, estimates that its global 2003 turnover will come in at 275m.

The company's pre-tax profit leap has also been helped by its controversial decision to export production to Malaysia, firstly its vacuum cleaners in 2002, and the washing machines back in August.

Manufacturing costs

The company blamed what it saw as the UK's escalating manufacturing costs for the lower than expected pre-tax profit figures in both 2002 and 2001 (16.6m), and its resulting decision to move production overseas.

Clean machine
We are very happy with the way things are panning out for 2003
Dyson spokesman

Both these pre-tax figures were down on the 35m Dyson achieved in 2000.

A spokesman for the company said it was very pleased with the predicted results for 2003.

"We are very happy with the way things are panning out for 2003," he said.

Research and development

The company today employs 1,200 in Malmesbury, Wiltshire, and has been at pains to stress that switching the actual manufacturing overseas has enabled it to increase investment in its UK-based research and development.

Some 560 jobs were lost in Malmesbury when the vacuum cleaners production was exported to Malaysia, and a further 60 positions when the washing machines followed.

Today one of the UK's best known brands, the company was founded by its namesake James Dyson.

He battled for 15 years to transform his design for a cyclone-powered vacuum cleaner into a real product.

But coupled with a bright, modern visual design, they quickly became an instant hit with consumers, when they hit the UK high street in the early 1990s.

The vacuum cleaners are now on sale in the US, after the company earlier this year secured a distribution network of 3,000 shops.

Dyson plant shuts up shop
26 Sep 02  |  England
James Dyson: Business whirlwind
05 Feb 02  |  Business

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