TClarke rides out site closures to deliver a profit

Aaron Morby 2 years ago
Share

Building services contractor TClarke expects to remain in the black this year after weathering the worst impact of coronavirus in the first-half of 2020.

Chief executive Mark Lawrence expects TClarke to remain profitable this year and is cautiously optinistic about 2021 prospects
Chief executive Mark Lawrence expects TClarke to remain profitable this year and is cautiously optinistic about 2021 prospects

The firm also reported a strong rebound in tender opportunities since April, bidding for £600m of projects, mainly in the datacentre and infrastructure markets.

Many of the specialist contractor’s key sites were closed for up to three months, knocking first-half revenue by 38% to just £106m.

TClarke enjoyed a strong first three months of 2020, maintaining its 3% underlying operating margin on a turnover of £70m.

But the lockdown impacted second quarter saw turnover fall to £36m. Even during this April – June period, TClarke achieved a small profit as it acted to swiftly to cut costs and utilise Government job retention support.

Overall underlying pre-tax profit for the half fell to £1.7m from £4.6m previously while underlying operating margins were held just above 2%.

Across the regions London and the South performed well remaining in the black with London delivering  3.2% margin.

The Northern business was the only division to fall into the red reporting a £200,000 loss mainly as a result of sites over large parts of the North West and Scotland being closed from March.

Mark Lawrence, chief executive, said: “TClarke has successfully remained profitable throughout the first half of this year.

“The group took early and decisive action to both protect and reposition our business and maximise the many opportunities available in the technology, data centre and infrastructure market sectors.

“The business has paid strict attention to cash collection and our cash position has improved to £7.5m after the cost of our restructuring programme.”

He said TClarke’s banking facilities of £25m have been renewed with the revolving credit facility  extended to August 2024.

“Our order book is strong and we have no shortage of opportunities in Data Centres and Infrastructure. Since the beginning of April we have bid £600m of opportunities,” he added.

 

Latest news

Materials giant CRH looks to sell contractor Farrans

More than 550 staff set to get new owner
1 day ago

West Yorkshire transport projects delayed to save £270m

Over 30 transport schemes to be placed on hold due to cost inflation budget pressure
12 hours ago

Decision on A1 Costain dualling job delayed for third time

Development consent decision for £260m Northumberland scheme put back a further 9 months
13 hours ago

Colas wins £140m Cheshire highways upkeep deal

Incumbent contractor Ringway will handover to Colas in April
13 hours ago

Skanska to lend staff cash

Contractor links-up with finance firm to offer affordable loans to employees
13 hours ago

Ilke Homes pulls off £100m record-breaking fund raise

Largest-ever capital raise by a UK modular house builder to fund expansion
1 day ago

Construction buyers fear for year ahead

"Construction companies now have a tightrope to walk in terms of being ready for recovery and cautious around investment"
1 day ago

Gove calls for competition probe into house building

Levelling Up and Regeneration Bill 'strengthened' with new measures
1 day ago

Schools get £500m for energy upgrades this winter

Extra cash found for better heating controls, insulation and energy efficient lighting
1 day ago

1,000-home North London scheme approved

Developer Hill will start work in the Spring on South Tottenham site
1 day ago

Bid race for £500m Suffolk construction framework

Construction and building services firms called up for East of England four year deal
1 day ago

Mace employs robot dog to avoid slip and trips in tunnel

Robot working in dark and hazardous conditions under Heathrow Airport
1 day ago

Administrator details confirmed at Southampton M&E firm

Begbies Traynor now in charge at Working Environments as suppliers face large losses
2 days ago

Former Galliard chief takes helm at Inland Homes

New CEO Don O'Sullivan sets out to return south east house builder to profitability
1 day ago

Applicant numbers nosedive for construction vacancies

Recruitment market gets even more competitive - how the Enquirer can help
2 days ago

Industry veteran to head Henry Bros northern arm

Peter Commins, former Kier and Balfour Beatty northern chief, to spearhead growth drive
1 day ago

Housing association shuts in-house modular factories

Swan closes loss-making steel frame and cross-laminate timber factories
2 days ago

350-homes approved around iconic London Tube station

Housing blocks to be built around Grade II-listed Hounslow West Tube station
2 days ago

Domis set for £195m Boddingtons Brewery scheme

Developer Salboy buys Manchester site to kickstart long-awaited 556 homes project
2 days ago

John Lewis £500m funding deal to build 1,000 rental homes

Deal to advance BTR flats at store sites in Bromley, West Ealing and Reading
3 days ago

Esh launches new housing retrofit division

Esh Retrofit Solutions will target market to improve the energy performance of social rented homes
2 days ago

Eric Wright wins tricky £52m Liverpool transformation

Contractor working with engineers at Ridge and Partners on "challenging" Stanley Lock Flight site
5 days ago

Investment giant buys Bristol M&E contractor

RDCP Infrastructure acquires Avon Combined Electrical Services
5 days ago

Demolition start for £50m Farnworth town centre rebuild

Caddick Construction is tipped for main works due to start in the spring
5 days ago

L&G Modular strikes deal to build 1,000 affordable homes

Modular homes business teams up with Hampshire's Vivid housing association
5 days ago

Former Erith operations director joins John F Hunt

Scott Exell named new operations director at demolition specialist John F Hunt
6 days ago

Green light for £135m Leeds twin tower resi scheme

Construction to start in New Year on 500 build-to-rent apartments
6 days ago

Mace hits 1m tonnes carbon saving target for clients

Present work pipeline betters 2026 carbon emission saving target
6 days ago

Plans in for £40m surf park at former Kent colliery

Seahive surf lagoon and health resort will be built near Deal
6 days ago

Crushed demolition worker vows to return to industry

Shannon Brasier hoping to return to construction following horror accident
6 days ago

Contractor services