North Midland doubles profits in Q1
North Midland Construction has more than doubled its profits in the first quarter of its financial year, its chairman will tell the firm’s AGM today (18 May).
Robert Moyle will tell shareholders that North Midland made a profit of £580,000 compared with £237,000 for the same period last year, an increase of 144.7%.
Moyle will say: “The construction market, riding on the back of sustained economic growth, has continued to expand with greater opportunities being available and the water companies AMP6 cycle is now fully underway. As a consequence of this the current Group order book for work to be executed in this financial year is circa £254 million.
“Further orders will emanate from the existing frameworks and other tendered opportunities and therefore the forecasted revenue for the year will be achieved, if not exceeded.”
Despite this, Moyle will warn that the firm’s net margin – which stands at 0.93% is “unsatisfactory”.
At the end of March, Morth Midland posted an operating profit of £2.24m for the year-ending 31 December 2016, with revenues also rising 15.1% to £250.5m.
