Styles & Wood aims for full-year profit
LISTED office and shop fit out specialist Styles & Wood predicted a full-year return to profit despite a steep fall in revenues as retail clients axed investment plans.
The company based in Timperley near Altrincham made a loss of £900,000 said in the six months to the end of June, down from £1.1m in 2009.
But revenues plummeted from £74.8m to £40.2m in the period.
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Chief executive Ivan McKeever said trading conditions had remained difficult in the first half, but said he was heartened by new business wins including Lloyds Banking Group, Selfridges, Harrods and on the property side Bruntwood.
“I am pleased with the progress we have made against our turnaround strategy and despite the extremely challenging market conditions we expect to return the business to profitability in this financial year.”
After a major refinancing early last year, Mr McKeever said market confidence was returning in the business.
“Our drive into the office and banking sector has helped to offset the continued weakening of the retail sector. Approximately 38% of group revenue for the first half came from office and banking.
“After a difficult first few months in 2010 there are encouraging signs that the turnaround plan is beginning to take effect,” he added.
Despite the slump in revenues, the AIM-listed company said its order book had improved in the three months to the end of June, and is now 10% up on last year.
