Graham has hailed its latest financial results as a “strong performance” after reporting almost identical revenue and profit figures to its previous year.
The contractor’s turnover increased by 2.8 per cent to £1.13bn in the year to 31 March 2024, while its pre-tax profit slipped by £300,000 to £14.8m. Graham’s profit margin therefore decreased slightly, from 1.38 to 1.32 per cent.
In its audited results published this week, Graham said the results were “strong” given its latest financial year “saw continued inflationary pressures placed on the business”.
It added: “Higher borrowing costs and evolving regulatory and legislative environments have led to a slowdown in planned start dates for major construction projects while impacting upon contractor profitability.”
The group said that while contractors are “very sensitive to higher borrowing costs” due to tight margins, it has increased its net cash position by £26m to £177m over the past year and is able to “operate through the cash reserves that have been built up”.
The company’s average number of staff increased by 10 during its past financial year, to 2,352, while the amount spent on directors fell from £2.2m to £1.5m, with the best-paid director receiving remuneration worth £608,000.
Graham’s chief executive Andrew Bill said: “The latest published accounts for the group are pleasing and underline the strong performance of each of our divisions within our core market sectors.
“We prioritise robust governance and commercial management, which are the backbone of our sustainable growth model. Significantly, the continued success of the group has been achieved despite global economic uncertainty and inflationary pressures.
“The market has been challenging but our consistent focus on quality delivery and commitment to securing repeat business through the development of collaborative client relationships have allowed us to grow sustainably over the past year.
“Looking forward, we have developed a significant pipeline of opportunity to allow us to positively approach the next 12 months and beyond with energy and optimism.”
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