Driver Group expects interim loss

DRIVER Group, the North West provider of dispute resolution services to the construction sector, expects to report a loss when it posts half year figures in June.

The Rossendale-based group said this result was in line with market expectations and reflected the cost of expanding overseas – it has put £1m into business development and has just opened its fourth office in the Middle East.

“This position is expected to reverse in the second half of the financial year resulting in a profit for the full year,” said chairman Steve Driver, ahead of today’s annual general meeting.

Last year the business was forced to cut costs after difficult market conditions halved profits to £1.1m.

Tough trading in the UK has led the group to look overseas where it is seeing strong growth. Mr Driver said there were an increasing number of tendering opportunities in Africa and the Middle East.

“In line with our stated overseas strategy we have now opened a fourth office in the Middle East, in Qatar, and have secured a contract on a large scale project in Africa,” said Mr Driver.

“This contract represents our first major agreement in Africa and we see good growth potential in this region.”