Interim results for the six months ended 31st March 2024 show that Hercules Site Services turned over £48.8m (2023: £37.0m) and made a pre-tax profit of £200,000, instead of the £200,000 loss seen for the same period last year.
Hercules’ core business of supply site labour continues to grow, aided by the acquisition last November of Future Build, a supplier of white collar staff to the construction industry.
Over the past year Hercules has increased its labour supply to HS2 from 400 to 450 operatives and other labour supply sites increased from 500 to 550.
A new rail business started October 2023 with the winning of a contract with Balfour Beatty Rail and is now also working with other companies too.
It has also begun supplying the Sizewell C nuclear plant – Hercules’ first engagement in the nuclear industry – which could provide a long-term stream of income.
The suction excavator division increased revenue by 41% thanks to the delivery of 14 more machines in spring 2023, taking the fleet to 28.
Chief executive Brusk Korkmaz said: “The start of the year has been very positive indeed, with revenue growing by 32% and a 21% increase in gross profit over H1 2023 levels. In addition, we grew EBITDA to £2.1m in H1 2024, up from £1.1m in H1 2023, and completed our first acquisition in line with our growth strategy.
"This continued success has been achieved by a great management team which has a desire to over-achieve. Our supply of skilled operatives to both the HS2 northern section and other infrastructure sites has increased during the period. In addition, we have added further new labour supply frameworks, including Costain and Hill Group, which will stand us in good stead in the years to come.
"The civil projects division has won a significant number of tenders, new clients include Trant Engineering and Curio Group, and is well on the way to achieving its targets in 2024.
"We are on track to meet market expectations for the full year, as the strong momentum in the construction and infrastructure sectors continues."
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