In the year to 31st December 2022 HG Construction generated turnover of £335.7m (2021: £242.3m).
Profits were down around 40% at both an operating level and bottom line. Pre-tax profit was £15.3m, compared to £24.9m in 2021.
The Hertfordshire design and build contractor, once part of Hunting Gate, said that it had responded to recent market volatility by strengthening its risk management protocols to better manage price stability, tender validity, inflation risk and project timelines.
Chief executive Adam Quinn said: “We are very pleased to announce an exceptionally strong set of figures for 2022, particularly considering the turbulent market conditions we are currently experiencing. This solid financial performance is testament to our forward-thinking approach as a business and a reflection of the efforts of our all our employees and the value they bring to HG.
“As a board we have remained on track with our strategic plans, pursuing sustainable growth built around a delivery model which has kept margins in line with aspirations. That has meant working with the right customers on the right jobs and embracing our collaborative partnership approach.”
As recently as 2016, when Adam Quinn joined, HG Construction was turning over £72m. In 2017 in turned over £126m and in 2019 £150m.
Adam Quinn added: “We continue to invest in our self-delivery capabilities which are instrumental in our successful management of costs and project risk. Having increased control over our supply chain sets us apart in the marketplace and has enabled us to unlock value in challenging schemes, adapt to market conditions and remain competitive despite significant price volatility.
“We are working through challenging times, but the investment decisions we have made in the past five years place us in a strong position to successfully navigate this turbulent period. We continue to invest in our people, processes and capabilities to ensure an excellent level of service for our clients.”
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