Nmcn discovers more losses as auditors pore over accounts

Grant Prior 2 years ago
Share

Troubled civils contractor nmcn has issued another profit warning with losses set to be “significantly in excess” of the £24m predicted in May.

The firm said the latest hike in losses has been caused by issues at the building division.

It is the fifth increase in predicted losses as shares in nmcn remain suspended and talks continue over a refinancing deal.

Results for last year were due to be published in June but were delayed  prompting the share suspension of the listed contractor.

Nmcn said on Wednesday that it is “continuing to work with its auditors to finalise the accounts for the year ended 31 December 2020.”

The update added: “Subject to completion of the audit, the Group is now expecting to report overall underlying losses before tax significantly in excess of the £24m indicated in the announcement of 28 May 2021. 

“This will include both a material element which is attributable to 2019, and recognition within the 2020 Results (rather than in 2021’s financial results) of certain losses connected to the performance issues in the Group’s Building business unit announced on 14 June 2021. 

“The Group had already reflected the majority of the increased 2020 Results loss within its existing internal working capital projections.”

Investment vehicle Svella revealed plans to take a controlling interest in nmcn following a £24m refinancing deal last month.

Lee Marks, nmcn Chief Executive said: “Since the announcement on 21 June of the recapitalisation, Svella has worked very well alongside the Company to progress the transaction and remain committed to ensuring that the recapitalisation is completed at the earliest opportunity.”

Nmcn added: “It is currently expected that the 2020 Results will be published during August 2021 at which point the Company will submit a request to the FCA and the London Stock Exchange to lift the suspension in the listing of the Company’s ordinary shares.”

Latest news

Scaffold boss banned over covid loan abuse

Eleven-year director ban after misuse of £50,000 loan
5 hours ago

Gove issues six weeks ultimatum to sign building safety contract

Developers told to sign Government contract issued today or be banned from building homes
11 hours ago

Firm fined £120,000 for lifting two builders in a telehandler bucket

Rochdale builder Hoyle Developments fined after repeated safety breaches
3 days ago

Hunt quashes reports HS2 will stop at Old Oak Common

Chancellor says no "conceivable circumstance" where HS2 would not terminate in Central London
2 days ago

London Chiswick roundabout 24-storey tower approved

Plan for 255 flats and offices finally passed after four previous schemes failed to proceed
11 hours ago

Construction forecast to fall by nearly 5% this year

Private new build housing and RM&I to drive fall but infrastructure growth will also slow
10 hours ago

Mace wins green office block at famous Fleet Street pub site

Contractor to build new 12-storey block pioneering latest sustainable construction methods
11 hours ago

Firms readied for raft of net zero and building safety frameworks

Procurement specialist LHC to tender five mission zero retrofit and building compliance deals
3 days ago

Plans in for two Derby city centre schemes of 1300 homes

Eagle Quarter and Bradshaw Way schemes to breathe life into Derbion centre area
3 days ago

United Living names new infrastructure services MD

Former SSE Contracting operations director John Farrell joins multi-service contractor
3 days ago

Sunak promises Bill to build £100m Holocaust Memorial

Holocaust Memorial Bill will update historic legislation allow the building of a new memorial in London
3 days ago

Mace Interiors to transform Hanover Square office block

Refurbishment work to start this year on major revamp of Mayfair building
4 days ago

Garden village in Darlington gets £43m infrastructure cash

Transport and highways work will pave way for 2,000 new homes
4 days ago

Plans in for Lendlease £1.9bn Birmingham Smithfield scheme

Ambitious plans for City's old market area advance with enabling works hoped to start this year
5 days ago

TClarke on track for £500m turnover this year

Building services specialist sees 2022 revenue and profit up by around a third
4 days ago

McAlpine tenders M&E work at £340m Museum of London job

Demolition and first MEPH work packages come out to bid
4 days ago

BAM signs off on £65m Manchester First Street office job

Briggs & Forrester lined up for MEP package
4 days ago

Eurocell gets £1m insurance payout after cyber attack

UPVC giant details cost-cutting round as market weakens
4 days ago

Mace on board for £440m Manchester Airport upgrade

Green light for second phase of airport transformation programme
5 days ago

Inland Homes losses now set to hit £91m

House builder sells land as construction problems and slower sales wreck balance sheet
5 days ago

Plans in for Stoke on Trent city centre mixed-use scheme

Etruscan Square scheme consists of an arena, 300 homes, hotel and multi-storey car park
5 days ago

Landsec unveils latest £850m Buchanan Galleries plan

Subject to planning, earliest date for first construction would be summer 2024
6 days ago

Van Elle soars to record revenue in first six months

Revenue up a third to £80m at piling specialist with improved order levels ahead
5 days ago

Work starts on BSI Kitemark for MMC homes

Government backs new British Standard to lift barrier to modern methods of construction
5 days ago

Watchdog blasts “rushed” UK Infrastructure Bank

Funding deals only seen so far on broadband and solar farms projects
5 days ago

60,000 Grandfather Rights skills cards soon to be invalid

New guidance issued for how experienced workers can get new CSCS cards before end of 2024
6 days ago

Worker dies after cardiac arrest in HS2 site office

Colleagues and emergency services tried to save man after he collapsed in tunnelling office
6 days ago

Mace wins £150m life sciences centre

Construction to start in April creating 1,000 jobs on London's Euston Road
1 week ago

Redrow switches to heat pumps as standard in all new homes

House builder commits all new detached homes from this month to have heat pumps and underfloor heating
6 days ago

Gilbert Ash set for Barnfield College next phase

Contractor understood to have won latest £26m deal at Luton site
6 days ago

Contractor services