In the year to 30th November 2023 Durkan Holdings made a pre-tax loss of £3.9m ( 2022: £9.3m loss) on turnover up 30% to £172m (2022: £132m), with volumes returning to pre-pandemic levels.
At an operating level, the group loss was £4.3m, down from a £9.5m operating loss the previous year.
Cash balance grew slightly over the year, from £29.9m to £30.9m.
The house-building division turned over £50.8m in the 20-23 financial year (2022: £29.5m), while the contracting division turned over £100.6m (202: £85.3m).
During the year Durkan’s contracting division signed its largest contract to date, the £145m Kidbrooke Park phase two scheme for the Royal Borough of Greenwich, boosting the division’s order book to £202m.
The refurbishment division contributed £16.9m to group turnover (2022: £16.6m). While this was only an incremental increase, Durkan secured places on a six more frameworks during the year, boosting its local authority pipeline.
The financial results were once again impacted by remediation provisions. Durkan has already completed £8.9m of remedial work necessitated by post-Grenfell compliance changes, and has made provision for a further £12.6m of future remedial work.
Executive chairman Danny Durkan said: “Having reported a loss in 2022, I am pleased to report a return to profitability in 2023 with a bottom line [after tax] retained profit of £0.5m. This has been achieved whilst also having to make further provisions in the period for legacy projects where changes in guidance and regulatory compliance around fire safety have required our ongoing focus, with the group carrying total provisions of £12.6m forward into 2024 having provided an additional £6.7m in the year.”
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