While turnover was down 18% for Triton last year, profits grew more than fivefold.
For the year ended 31st March 2024 Triton Construction Limited turned over £50.9m (2023: £62.1m) and made a pre-tax profit of £676,000 (2023: £119,000).
Chairman Michael Parkinson writes in the annual report: “It is pleasing to report that the business had made good progress during the period on its way to recovery from the difficult trading conditions of the prior year. Schemes that have been secured during the period have performed well and delivered margins in line with performance recorded pre-covid. This has allowed us to draw a line under a number of old projects and bad debt provisions against a client in liquidation, without which the results would have been well beyond expectations.”
The client in liquidation is Harrogate-based Swangate Developments Ltd, for whom Triton Construction completed the construction of a design & build hotel in South Wales. Swangate failed to settle the final account. Following an adjudication process, Triton was awarded a judgment of more than £400,000. Swangate Developments then entered administration and later liquidation. With the support of the administrator, Triton was able to recover a portion of the outstanding amount, but it was stiffed with £145,000 bad debt.
Michael Parkinson set up Triton Construction in Liversedge in 2005 and then sold it to an employee ownership trust in 2020. This will still not be the year that all the employees will be running down to the local car showroom with their dividends…
“The board have made the decision to hold all the residual profit made within the company and further strengthen our balance sheet going forward,” Parkinson said. “It is also pleasing to see our cash figures again remained strong, this ensures that our supply chain is paid on time, thereby enhancing our reputation and building strong long-term relationships.”
Parkinson added: “We start the new financial period with a record order book and many high-quality opportunities in our pipeline. This is allowing us to be more selective and provides for a balance workload without exposure in any particular area. We are also please to see one of our key clients, Premier Inn return to the construction market with big plans for growth over the coming years.”
Earlier this year Premier Inn’s parent company, Whitbread, announced plans for a £500m investment into the expansion of the budget hotel chain.
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