Main contracting lifts Reddington turnover to £539m

Aaron Morby 1 month ago
Share

Diversified south east construction group JRL has smashed the £500m revenue mark after another strong year of trading at its Midgard main contracting business.

Staff headcount at JRL jumped from 871 to 1,364 as revenue jumped

Across the group, revenue jumped by nearly 40% to £539m last year, generating a pre-tax profit up £3.5m to £31m.

Growth was also helped by a £44m contribution from acquired cladding firm McMullen Facades.

But a £7m loss incurred by the cladding business in a challenging first year of trading at JRL depressed group operating margin from 7.3% in 2017 to 5.3% last year.

Chairman John Reddington said the group’s self-delivery model was paying off, reducing risk to programme and increased cost certainty for clients.

“Most notably Midgard, our main contracting division, has successfully delivered a number of larger contracts on time which continues to demonstrate the benefit of our integrated offering.”

“Managing growth represents a challenge in itself, therefore I am pleased to note that our balance sheet has strengthened further with net assets, cash at bank and net debt demonstrating the improvement in the group’s financial position.”

He added: “Against a backdrop of increased uncertainty in the wider market, we are pleased to confirm a healthy order book, which is currently indicating further growth into 2019.”

Of the two main contracting businesses, main contractor Midgard, which was formed in 2006, lifted revenue 66% to almost £300m, delivering a £14m pre-tax profit against £3.7m in 2017.

Groundwork and concrete frame contractor J Reddington edged up revenue to £246m with profit falling to £7m from £11m previously.

Group cash doubled to £62m over the year of growth.

Latest news

Balfour tops October contracts league after road win

Morgan Sindall unseats Kier with the highest value of orders over last 12 months
2 hours ago

Oakervee review backs full HS2 project

Leaked report floats idea of re-procuring contracts for best value
19 hours ago

Galliard to start luxury apartments above Crossrail station

Go-ahead for £140m residential scheme above delayed station
14 hours ago

Co-op signs new maintenance deal for all stores

Trio of winners for five-year deal covering 3,500 food stores and funeral homes
14 hours ago

More than 200 hotels planned in London

Hotel building boom fuelled by Brexit-related fall in sterling
19 hours ago

VolkerWessels to be taken private in buyout

Major shareholder makes offer for rest of business
19 hours ago

Marcus Worthington went down owing £9m to subbies

Supply chain suffers again in latest administration fall-out
20 hours ago

Kier Construction regional MD joins developer

Steve Creswell joins Sussex house builder Thakeham Group
20 hours ago

Network Rail extends Ganymede labour supply deal

Derby-based labour supply agency has over 1,000 workers on the railways
20 hours ago

Rydon secures £100m London council estate rebuild

Ealing council confirms Rydon for 460-home rebuild of High Lane Estate
2 days ago

Galliford Try picked for 600-home Kidderminster scheme

Former NHS site to be redeveloped in six phases
1 day ago

Construction dodges recession after output rise

1.4% new work uplift holds up third quarter construction activity
2 days ago

Balfour strains to sign-off Midland Met hospital restart deal

Engie named for hospital estate hard FM contract as Trust sweats for December restart
2 days ago

US consultant Cumming makes another move in UK market

Cumming confident about UK market as it merges with Stoke-on-Trent-based Prosurv
2 days ago

Crossrail delayed again until 2021 as costs rise another £650m

Project chiefs confirm more delays and cost increases
5 days ago

Chinese firm set to save British Steel in £70m deal

Industrial group Jingye to rescue Scunthorpe works where UK construction steel is produced
2 days ago

Caddick to build £50m Wakefield industrial park

Work to start early next year on 515,000 sq ft logistics hub
2 days ago

GMI gets start date for Kirkby town centre regen

Council strikes deal with St Modwen to kick-start stalled retail scheme
2 days ago

Skanska trials graphene enhanced super-tough blacktop

New asphalt concrete will be laid in Curbridge Oxfordshire
5 days ago

Huge losses at modular firm handed £30m of public cash

Latest accounts show £7.7m loss at ilke Homes
5 days ago

Bid races for £900m gas mains replacement programmes

Contractors called up for Scottish and southern England cast iron gas mains replacement
5 days ago

Laing O’Rourke building boss joins Kier

Liam Cummins joins Kier as group managing director of construction
6 days ago

Firms handed £18m for mini nuclear power stations

BAM Nuttall and Laing O'Rourke consortium secures cash to develop next generation plants
5 days ago

Late payment sparks mental health crisis in construction

Nine out of ten construction bosses suffering effects of late payment
6 days ago

Subcontractors wanted for North East regen schemes

United Living and Partner Construction to hold Meet the Buyer event: Register now
5 days ago

Bill Hocking to become new Galliford Try CEO

Once the deal is approved Hocking will take over as chief executive of the 3,400 staff contractor
6 days ago

Osborne to start £100m spec office scheme

Developer Native Land green lights first major commercial job
6 days ago

McAvoy raids Farrans for construction board director

Martin O'Neil joins offsite specialist's board as contractor director
5 days ago

Labour and Tories compete over infrastructure spend pledges

Parties seek to outbid each other on ramping up infrastructure spending
6 days ago

Green light for £125m Birmingham St Paul’s quarter scheme

Galliard Homes Jewellery Quarter scheme will involve 305 homes and commercial space
6 days ago

Contractor services