Contractor set to post losses after ‘challenging’ year

Company set to return to profit this year

Contractor G F Tomlinson says it is emerging from a “challenging period” and is on target to post profits of £2.5m for the year-ending June 2020.

The news comes as the firm is set to post its results on Monday (6 April) for the 18 months to 30 June 2019, which its chairman and managing director says will show losses for the period

The Derbyshire-based company says it has a pipeline of around £52m worth of contracts for the next 12 months and will look to concentrate on public sector frameworks, residential and the logistics sector.

Group chairman and managing director, Andy Sewards, said: “We are hugely proud to have secured a place on three major frameworks in the first quarter of 2020; we are now part of the £500m University of Birmingham Build Higher Framework, the national Crown Commercial Services Construction Works and Associated Services Agreement and the national Pagabo Major Works.

“This is a considerable success for G F Tomlinson and as a business we are forecasted to recoup on the losses in the financial period between January 2018 and June 2019, by June 2021. This is an incredible achievement for the team and testament to G F Tomlinson’s breadth of experience, forward-thinking approach and values, as well as the quality of our processes and calibre of staff – which have been thoroughly tested, as part of the robust processes involved in winning placements on frameworks of this calibre.”

Sewards says his firm, which is currently working on the £30m project to transform Nottingham Castle, was hit by the collapse of Carillion as well as Brexit and a snap General Election over the period of January 2018 to June 2019.

He added: “With the change in the contracting economic climate, the directors restructured the staff and management teams to create a more streamlined model, which has reduced the company’s overhead this current financial year. The directors also took the decision to change our accounting period to June to dovetail and align more closely with our framework clients, which is why G F Tomlinson is reporting to an initial 18-month period to June 2019. The Group is now more aligned, resulting in a better economic performance.

“With over 125 years of experience in the industry, G F Tomlinson is well versed in remaining agile and embracing new ideas to capitalise on the more buoyant sectors in the marketplace, and this approach ensures the company is well placed, providing greater opportunities for continued success for years to come.

“As we look to a bright future of trading, I’d like to acknowledge and thank the whole G F Tomlinson team for their passion, dedication and strong work ethic.”

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