Construction mangagement firm relies on regional work to raise turnover by 11% despite drop in London offices work
Revenue at construction management firm, ISG jumped 11% from £505m to £562m for the half year ending 31 December 2008. Profit was also up, from £5.8m to £6.3m.
The firm said that a decline in work in the London offices sector had been outstripped by increased demands in “higher margin” sectors. Operating profits outside the capital increased by 77%, it said, adding that its regional construction book continued to grow, being 73% public sector related.
The firm said that its order book as of 31 December was £950m, down £18m on the year before, with £494m due this year and £365m due next.
Net cash was £26.8m from £22.1m in the previous year.
David Lawther , the firm’s chief executive, pointed to the benefits of diversification: “ISG’s strategy remains focused on diversifying the group by activity, sector and geography. The changes we have made to our business over the last few years and our positive net cash position have made us more resilient in the face of the current economic uncertainty.”