Willmott Dixon has released abbreviated accounts showing that it made an operating loss of £15,000 in 2022.
It also has £61.8m of provisions on its books for recladding work and cash flow shows £4.0m of depreciation and amortisation of fixed assets.
Excluding exceptional item and amortisation of goodwill, the company shows a pre-tax profit of £811,000 for 2022, compared to £24.0m in 2021. So far, the company has chosen not to share the actual bottom-line pre-tax result but all will be revealed within a few weeks when Companies House filings are published.
Group turnover was up 4% to £1.15bn (2021: £1.10bn). Willmott Dixon Construction contributed turnover of £1,014m (2021: £946m) while Willmott Dixon Interiors’ turnover dipped to £133m (2021: £156m) due to projects being stalled.
Chief executive Rick Willmott explained: “Last year’s profit was impacted by provisions we have made to reclad property that was originally signed-off as compliant by Local Authority Building Control, but where that compliance has been re-interpreted under the post-Grenfell safety regime.
“The implications of the Building Safety Act (BSA) continue to be interpreted and there remains considerable uncertainty on the government’s evolving regulatory position on high-rise residential construction which will only lead to the postponement or cancellation of developments whilst the industry waits for clear and unambiguous regulation.”
He added: “Our own results for 2022 were impacted by further provisions we have made to address the implications of responding to the BSA. The aggregate provision for these legacy issues stands at a very material £62m and we naturally expect to recover a substantial portion of this from designers, fire engineers, supply chain and insurers who, so far, have not faced up to their responsibilities or obligations across those ‘in scope’ projects.”
Group turnover was up 4% to £1.15bn (2021: £1.10bn). Willmott Dixon Construction contributed turnover of £1,014m (2021: £946m) while Willmott Dixon Interiors’ turnover dipped to £133m (2021: £156m) due to projects being stalled.
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