Seddon Construction suffers £2.5m loss

Aaron Morby 3 weeks ago
Share

The construction arm of the Seddon Group fell £2.4m into the red last year after revenue slid 13% to £130m.

Jonathan Seddon said the bounce back this year has seen the  strongest forward order book the company has had for many years
Jonathan Seddon said the bounce back this year has seen the strongest forward order book the company has had for many years

But the Bolton-headquartered group said maintaining a relatively high pre-construction staff overhead has now paid off with a rapid rebound in orders to the highest level recorded for many years.

CEO Jonathan Seddon said: “The negative effects of the near industry-wide lockdown masks some positive underlying trading, a continuation of the strategy of workload diversification and a de-risking of the portfolio.

“This has specifically targeted an increased focus on property services and maintenance work together with further growth of an already established social housing arm.

“One of the benefits of maintaining a sizeable pre-construction overhead during the Covid lockdown was the opportunity to concentrate on future trading.

“The decision has been rewarded with the strongest forward order book the company has had for many years, providing an excellent opportunity to return full turnover capacity and profitability.”

Overall the construction arm, which had a 547-strong workforce, received nearly £2m from the covid job retention scheme.

Group performance was salvaged by a strong contribution from the housing business Seddon Homes, which helped lift group turnover past £200m from £193m previously, generating a pre-tax profit of £7m, up from £3m.

The homes business saw sales rise 28% to just over 200 homes raising revenue 58% to £54m, helped by an 11% rise in North West house prices and a change in product mix.

During the year the healthcare and commercial property business reported a £2m pre-tax profit.

Latest news

Six chase £240m HS2 phase 2a advanced works

Advanced Civil Works is due to begin in Autumn 2022.
2 days ago

Nmcn wins more time to secure rescue deal

Troubled contractor gains more time for to publish delayed results and secure refinance deal
2 days ago

Plastering boss banned for skimming accounts

Seven-year ban for director after investigation into collapse of contractor
2 days ago

Lendlease construction profit rebounds to £20m

Contractor sees significant rise in activity this year
2 days ago

20 tower cranes planned for HS2 Euston station job

Mace Dragados seeks tower crane suppliers amid ongoing uncertainty about scope of £2.6bn project
3 days ago

Green light for £60m Manchester surfing lagoon

TraffordCity site will be transformed into major leisure attraction by 2023
3 days ago

Britcon to build Ideal Heating HQ extension

Local contractor seals £16m deal after "rigorous competitive tender process"
2 days ago

Balfour lands latest £52m deal to ‘rewire London’

Balfour to install 200km of cables on London Power Tunnels 2 project
3 days ago

Clancy delivers strong profit growth as margin hits 4.5%

Clancy completes recovery plan with £11m pre-tax profit
3 days ago

Glasgow launches £30bn ‘Greenprint for Investment’

Green cap over M8 interchange and new city metro among 10 investment projects
3 days ago

Five in race for £1.9bn Lower Thames Crossing road deals

Shortlists unveiled for two mega civils jobs either side of UK's longest road tunnel
4 days ago

Kier scoops £66m Twickenham sewage works upgrade

Thames Water's third largest sewage treatment plant set for major upgrade
4 days ago

Skanska shuffles management team at Cementation

New MD at piling business which was put up for sale three years ago
4 days ago

Fusion21 plans £750m decarbonisation framework

New framework to target 'whole building' works on homes and schools
3 days ago

Buckingham gets start date for £60m Anfield Road Stand

Construction will continue throughout the season with completion set for 2023
4 days ago

Mace confirmed for Mayfair super prime resi scheme

29-home Audley Square scheme is being developed by Phones4U entrepreneur John Caudwell
4 days ago

BAM Nuttall wins £118m Cross Tay Link Road

Perth & Kinross Council signs £9m ECI with BAM for new bridge
4 days ago

Plans in for Birmingham Paradise hotel and office

Detailed plans in for 17-storey hotel and 180,000 sq ft green office block
5 days ago

Henry Boot site team finds letter from 1930s plasterers

Historic discovery on Heart of the City Sheffield site
5 days ago

Firms readied for £600m animal science estate race

Contractors put on alert for Animal and Plant Health Agency science estate framework
4 days ago

Blackstone plans £850m Cambridge life science park expansion

Investor plans to build 800,000 sq ft of purpose-built labs
5 days ago

Construction labour costs climb 2.8% in August

Contractors hoping end of furlough will help ease skills shortages
5 days ago

Three brickies fall through stairwell on St Modwen Homes site

House builder fined £200,000 after trio suffer serious injuries falling 2.5metres through temporary cover
5 days ago

Akela Group moves into England with new Leeds hub

Scottish civils contractor looks to boost business by 10% with move south of the border
5 days ago

Sellafield plans £3bn infrastructure delivery partnership

Morgan Sindall/Arup alliance to be replaced by three delivery partners
6 days ago

Billington cheered by big shed and infrastructure job surge

Steelwork specialist reports challenging market as main contractor clients squeezed by inflationary pressure
5 days ago

Bid race starts for £1.6bn Pagabo civils framework

New civils framework will be split into four project-size lots
6 days ago

SEGRO to start £300m futuristic food production hub

Advanced 1.8m sq ft food growing facility planned near Derby
6 days ago

First contractor fined after 316,000 HSE Covid spot checks

One prosecution so far following blitz of workplace Covid spot checks during pandemic
6 days ago

Ten fire crews tackle blaze at Hinkley

Temporary building on giant construction site goes up in flames
5 days ago

Contractor services