Trading statement reveals £27m exceptional loss but says that contract wins will ensure 2004 profits are in line with expectations.
Alfred McAlpine said that results for the year ending 31 December 2004 are in line with expectations of £38m despite an exceptional charge of £27m. The Group also said today that it expects double-digit profit growth in 2005.
The group announced in the trading statement that its Business Services and Capital Projects organisations had recently won £285m of contracts, bringing total 2004 contract wins to around £1bn for the company.
Businss Services secured an additional ten-year contract for the management of an energy centre for Airbus at its A380 production facility near Chester and an enlarged five-year contract to manage the facilities for the entire UK estate of EDS.
The Capital Projects division has won new contracts for the upgrade of the A30 Bodmin to Indian Queens by-pass and for the development of new custody and administration facilities for Cheshire Custody Services.
Group chief executive Ian Grice said: “Following the sale of our house-building operation to Wimpey in 2001 we have invested £190m in eight acquisitions and transformed Alfred McAlpine into a service company.”
“We have created major businesses in the fast-growing facilities management and infrastructure services markets, and support services now account for two-thirds of the company's activities”
The group also announcd the resignation of Peter Carolan, Managing Director of Infrastructure Services, who will leave at the end of the year.
The exceptional loss related to the acquisition of Ryan Utility Services in 2001, a recent worsening of out-turn losses on two of its construction contracts which commenced in 2000 and 2001, and £6m of re-structuring and re-organisation costs incurred during 2004.