Driver Group sales drop 20%
ROSSENDALE-based construction consultancy Driver Group delivered a disappointing set of results for the year to September 30, 2010 as it announced a 20% fall in turnover to £16.4m and a pre-tax loss of £809,000, compared with a £1.1m profit last year.
The company, which seeks to mediate on disputes in the construction industry both in the UK and the Middle East, blamed the decline in the UK construction market as the primary reason for its poor performance.
“This year has been the biggest challenge in the Group’s history as we invested money and energy in developing new territories and services whilst managing the effects of declining construction markets in the UK and Middle East,” said executive chairman Steve Driver.
He argued, however, that the investments made meant the firm “is now positioned with new initiatives aimed at providing growth to counter any further decline in our previous traditional construction markets”.
During the year, the firm opened new offices in South Africa and Qatar as well as acquiring an office in Dubai. It also said that it had recruited a managing director to run a new business targeting the power and process markets which brought in two major new clients.
It also embarked on a shake-up of its board, which has culminated with Driver himself announcing that he is to move from his current executive chairman’s post to non-executive director and consultant.
Current directors Michael Davies and Keith Kirkwood are also to step down from the board. During the year, Bob Parfett and former finance director Colin White also left the company – the latter was replaced by Damian McDonald.
Driver said the firm was currently looking for a new non-executive chairman whom he hoped would be in place by its annual general meeting on March 1.
He added that he saw the current financial year as “one of consolidation” for the firm.
He said that there were opportunities in Qatar, Africa and in the power business but said that he did not think that this would cover the continued downturn in its core construction markets in the UK and UAE.
“We also see a growing level of enquiry for our expert and litigation support services on large scale international disputes serviced from the UK,” he said.
