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Van Elle hits record revenue as margins up to 3.9%

July 26, 2023
in General
Van Elle hits record revenue as margins up to 3.9%
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Despite materials and labour inflationary pressures, delays to highways works and the housing market slown down, the piling specialist increased pre-tax profit in the year to April 2023 to £5.3m from £3.6m previously.

Mark Cutler, Chief Executive, said: “The actions taken over the last three years are starting to deliver sustainable results that put us firmly on-track to deliver our medium-term financial objectives.”

He said that despite a more challenging macroeconomic environment currently impacting some of the group’s divisions, Van Elle’s diversity of activities and operating segments and a focus on growth sectors meant the group was optimistic about medium term prospects.

Cutler said: “Activity levels in the first quarter of FY2024 have continued to be strong with a healthy pipeline of opportunities across all divisions.”

He said that the Smart Motorways Programme Alliance and the TransPennine Route Upgrade framework were two of the major programmes that presented growth opportunities for the year ahead and beyond.

In the energy sector, which Van Elle is targeting, the award of a major new framework is expected in the next few months with others awards at preferred bidder stage.

Cutler said that several customer partnerships were being developed ahead of strong growth in investment driven by the UK Government’s and the regulator’s energy security strategy.

The Board remained confident of achieving its medium-term financial targets of 5-10% annual revenue growth, 6-7% operating profit margin and 15%-20% ROCE.

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Copyright for syndicated content belongs to the linked Source : ConstructionEnquirer – https://www.constructionenquirer.com/2023/07/26/van-elle-hits-record-revenue-while-margins-up-to-3-9/

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