Surgo Construction Ltd, one of the region’s leading building contractors, reported a year of ‘good progress’ in 2014-15 in its latest financial results.
Sales were restored to pre-recession levels at just over £35m with an operating profit of £1.0m before financial costs, interest receivable and tax, up from £0.4m in 2014-15.
The company continues to generate good cash flows from its operations and net funds stood at £7.5m at the end of the year, up from £6.8m the previous year, providing Surgo with a strong financial base when competing for contracts with its main competitors.
With an order book indicating that almost seventy per cent of turnover for the current financial year has already been secured, Surgo’s chairman, Ian Walker, who celebrated 31 years with the firm in 2015, has every reason to be optimistic about the future.
He says it is now possible to ‘see some light at the end of the tunnel’ after what has been an extremely challenging time for the industry as a whole over the last few years, but adds that the market continues to be highly competitive.
Reflecting on Surgo’s performance, he commented: “Our strategy of planning for and keeping a broad client base and work type continues to prove a winning formula and we have been able to deal successfully with the ebbs and flows of the market.
“We are continuing with our strategy of adopting a prudent approach to completing contract schedules and additionally, we remain resolute in our determination to conclude individual project accounting expeditiously so as to maintain strong cash balances.
“As we moved through the year, conscious of the need to increase and strengthen our teams, through a series of new staff appointments we have been able to enhance our senior level expertise in both estimating and contracts management significantly, broadening the scope of our capabilities.
“It has always been my belief that the most important investment that our company makes is in our teams. I have never ceased to be impressed by the enthusiasm, professionalism and dedication of the Surgo team at all levels of the organisation and with the improving economic picture and level of enquiries, we have been able to grow our sales considerably.
“We are looking forward confidently to the year ahead in a much more buoyant market place.”