Outlook grim for Tolent
BUILDING and civil engineering company Tolent said its trading performance for the first four months of 2008 has been ‘disappointing’ as a result of difficult trading conditions in the economy.
The construction company – which has an office in Leeds – said its results for the first half would be “adversely affected” by two provisions totalling £950,000.
Tolent has made full provision against a debt of £750,000 due from a residential developer and made an accounting adjustment of £200,000 in respect of Newcastle-based Echo Buildings as a consequence of having bought out its joint venture partner.
The company said the provision will reverse when the remaining properties, most of which are let, are sold.
Speaking at the group’s AGM non-executive chairman Mike Speakman said the economy in general had affected the business and, in particular, the areas of the construction sector in which Tolent operates.”
On a more positive note Tolent said its current secured forward workload stood at £120m with a further 40m pounds of orders nearing signing and commencement on site.
It said the level of enquiries and conversion of these enquiries into firm orders has slowed in the first half with a number of projects being deferred or cancelled, which ‘may have an impact’ on the company’s results for the year.
Tolent Construction was formed in Tyneside in 1983, and carries out all types of building and civil engineering work in the public and private sector on a national basis from offices in Tyneside, Teesside, Yorkshire, Manchester and London.
