For the year to 25th February 2022 NG Bailey made a pre-tax profit of £3m, turning around the previous year’s £4.4m loss.
Annual turnover was broadly unchanged but down slightly at £500m (2021: £507m).
Earnings before interest, taxation, depreciation and amortisation (Ebitda) was £7m (2021: £3m) with an underlying operating profit of £800,000 (compared with a loss of £2.7m in 2020/21).
The balance sheet shows net assets of £147m, including cash and investments of £79m. The order book stands at £1.2bn.
NG Bailey’s Services division delivered an underlying operating profit, excluding goodwill amortisation, of £7.1m. Turnover for the division now accounts for almost half of the overall group.
However, the Engineering division posted an operating loss of £5.1m. It now has a three-year business designed to get it back into profit.
Chief executive David Hurcomb said: “NG Bailey has made a strong recovery following the pandemic, evidenced by our return to profitability. This demonstrates the strength of our diversified business plan, which is increasingly important given the challenging economic environment driven by inflationary pressures and skilled labour shortages.
“With a high-quality order book, further opportunities for repeat income and the UK government committing to drive economic recovery through substantial investment in infrastructure and decarbonisation, we look forward with confidence to returning to pre-pandemic levels of trading in the medium-term. This is further backed by a growing pipeline of work in recession resilient markets.
“Given the current trading environment, the strength of our balance sheet remains one of our key differentiators as our customers look for stability in their supply chains. With our market leading capability to provide services across the whole built environment lifecycle, we are well positioned to not only face any short-term challenges but also successfully deliver our strategic growth plans.”
He added: “Whilst the pandemic had a material effect on operations and there are some new market headwinds to navigate, the group is on track with its plan. We have an excellent reputation, extensive operational skills, strong balance sheet and experienced management team.”
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