GRAY & Adams, the freight vehicle maker whose products are used to transport foodstuffs for supermarkets and high security prisoners for the authorities, has achieved a near 50 per cent increase in profits amid challenging conditions.

Fraserburgh-based group made £6.6 million pre-tax profit in the year to 30 April, up 47 per cent, £2.1m, from the £4.5m recorded the preceding year.

Owned by the Gray family, the company grew sales seven per cent to £124.7m from £116.8m.

Group finance director Mark Grant said the company has traded in line with expectations and achieved good profitability in the first six months of the current year.

The success shows Scottish firms can succeed in the international vehicle engineering market. Directors of the firm noted the firm faced stiff completion from rivals in the UK and overseas.

Mr Grant noted the company had continued to invest in developing products and in increasing efficiency.

“We’re in a very competitive market so controlling costs and filling production capacity remains paramount,” said Mr Grant.

The company designs and manufactures a range of trailers and chassis at its Fraserburgh plant. These include refrigerated units that can be used to transport foodstuffs.

Mr Grant noted the growth potential of the market to supply the vans used by supermarkets for home deliveries, in which it has won contracts.

Gray & Adams says its team in County Antrim has “developed a particular expertise in the production of highly specified custodial vehicles for the safe and secure transportation of persons in custody”.

However, Mr Grant noted this is a lumpy business in which contracts come up at irregular intervals.

The firm’s growth has been good news for jobs.

The average monthly number of employees increased to 679 in the latest financial year, from 666 in the preceding period.

Gray & Adams employs 460 people in Fraserburgh, making it the largest male employer in the area by its reckoning.

Joint managing director James Gray said the company will continue to develop and improve its range of products, he noted: “It’s a team effort and over 650 employees contribute to this. We have 33 apprentices within the group with around 12 starting each year; most are in production but we also look for talent in engineering and other support areas.”