Building firm bounces back from tough year with 37 per cent increase in profits

Building firm Mears has bounced back from a tough couple of years with a 37 per cent increase in profits.

The Gloucestershire firm was badly affected by the downturn in the market and the soaring cost of materials.

The company employs more than 5,000 people and builds and manages property across the country for public and private customers.

In a trading update Mears said group revenues were up year on year by nine per cent to £959m.

Adjusted profit before tax increased by 37 per cent to £35.2m from £25.6m.

Mears said it had taken action to deal with the impact of inflation, skills shortages and supply chain issues that affected the wider industry in 2022.

At the same time it has seen  high levels of both customer satisfaction and employee engagement.

The firm’s order book now stands at £2.9bn, reflecting good progress on contract retentions and extensions.

Chief executive David Miles said: “I am delighted with the strong performance of the group, and these are a terrific set of financial results.

“Our market leading position, based on a clear strategy and resilient operating platform, has underpinned this performance, and positions the group for further sustainable growth in the medium-term.”

Mears said it has made a positive start to 2023 with current trading in line with the board’s expectations.