Record results for robust Renew
RENEW Holdings has today announced record results, helping it creep closer to its ambitions to grow group revenue to over £500m.
In its 2013 preliminary results, the Leeds-based group, which operates in UK infrastructure markets reported pre-tax profit of £10.7m up 27% from £8.4m and revenue of £334.6m slightly down from £337.4m last year. The group’s contracted order book at the end of September stood at £416m (2012: £331m), a 26% increase, with the Engineering Services order book up 28% to £301m (2012: £235m).
During the year, Renew acquired Lewis Civil Engineering for £7.9m and said its presence in the environmental market will be “significantly strengthened” by the acquisition of Lewis, which is based near Cardiff.
Chairman, Roy Harrison OBE, said: “The group has delivered another set of record results with strong cash generation and has confirmed its growth strategy in Engineering Services with another successful acquisition. Renew is now firmly positioned as a leading infrastructure support services group and, with a record order book secured, the board is confident of delivering further profitable growth.
“The group enters the 2013/14 financial year in a strong position.
“It remains the board’s strategy to grow the business, both organically and by selective acquisitions, developing Renew’s position as a leading medium sized engineering support services group.
“The board’s ambition is to grow group revenue to over £500m, an achievement which continues to be likely to require further acquisitions.
“The board continues to set challenging performance targets and believes that over the next three years the group can increase its Engineering Services business operating margins to 5% whilst maintaining Specialist Building performance in line with that currently being achieved.
“The group’s successful acquisition record combined with these strong results and net cash position, together with the record forward order book indicate that Renew is well placed to achieve these targets.”
Renew’s engineering services business focuses on the key markets of energy (including nuclear), environmental and infrastructure. Renew also operates a specialist building division.
The Yorkshire business said today’s record results demonstrate its position as a “leading provider of multidisciplinary Engineering Services supporting critical UK infrastructure”.
