Willmott Dixon made pre-tax profits of £26.6m for the year to 31 December 2010, up 46% on 2009’s £17.1m.
Turnover was £989.5m, less than 1% down on the £998.9m turnover of 2009.
Cash in the bank at year-end was up from £59.9m to £62.2m and the value of work in hand was £1bn - roughly a year’s turnover.
Group chief executive Rick Willmott said:,“I am delighted to report Willmott Dixon’s most significant performance to date in what continues to be a tough market. Operating margins held up well during the year and strong order book gives us good visibility for the year ahead. However, we remain cautious in the short-term and recognise that winning work good quality work, in all of our markets, will remain challenging.”
“We aim to differentiate ourselves with market leading expertise, service and products that our competitors will find difficult to match. This includes the launch of our Sunesis standardised design concept, in joint venture with Scape, to cut the cost of capital projects by up to 30%. Now available for education projects, Sunesis will be migrated to others sectors such as leisure to offer an exciting solution to our clients’ need for fresh ideas to deliver exceptional projects for less.
“We also continue to expand in the regeneration arena illustrated by our project to build Woolwich Central, one of the largest contracts ever let by Tesco. Delivering an 80,000 square foot superstore and 259 apartments will see us combine the three skill sets of major contracting, house building and interior fit-out within our Capital Works division.
“Alongside an exciting array of capital works projects we continue to invest intellectual capital in a variety of development and investment propositions that will generate significant longer term opportunities and offer a different ‘blend’ of earnings over the coming years.
“Additionally, with our support services division prioritised on local authority and housing association maintenance contracts, that offer the geographic concentration for our bespoke delivery model, we aim to create new opportunities as customers outsource non-core services and look for companies like us to transform the way they are delivered.”
Willmott Dixon is the UK’s second-largest privately owned contractor, in terms of turnover, behind only Laing O’Rourke.
Commenting on the immediate future, Mr Willmott said, “Whilst remaining concerned about trading conditions ahead, as a private company we are prepared to engage evolving circumstances head-on and, above all remain determined to continue delivering exceptional performance for our customers.”
“We will continue to invest in our sustainability performance and know-how, which has seen us responsible for some notable UK firsts in the past 12 months on behalf of our clients. The low carbon challenge is migrating up the list of priorities at boardroom level and we are working with many clients to help address their sustainability challenges and opportunities, both in new-build and in retrofit.”
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