Lorne Stewart pre-tax profits were virtually unchanged in 2010, despite a drop in turnover
In the financial year to 31 December 2010, Lorne Stewart turnover fell to £173m, compared to £183m in 2009. Its pre-tax profit fell just 5% to £6m in 2010, compared to £6.3m during 2009.
The firm’s cash pile increased during the year, to £37m, up from £28m.
Commenting on the results, Lorne Stewart chairman Tarek AbuZayyad said: “Given the challenging market conditions faced by the construction industry as a whole I am delighted with these results that are fully in line with our targets and expectations and are testament to the quality and commitment of the staff we employ.
“Lorne Stewart’s pipeline of sales prospects, strong forward visibility of revenue stream from our long term contracts and strong financial footing position us well for further progress in 2011 and thereafter.”
Finance director, P.M. Mathew said: “The services business enjoyed another successful year and has retained several key contracts such as Merseyrail FM and an enlarged contract with Barclays Bank. A significant new contract with Cornwall council has also been secured. In addition to this the business has secured further contracts on the various health, custodial and defence framework schemes with which it is involved.
“Our focus for 2011 will be to continue to deliver a high quality service and thereby build on our relationships with our valued client base. We are delighted that during the course of this year we have been recognised by many of our long term partners as their first choice provider.”
Lorne Stewart also announced that Gary Worrall has been appointed as MD of the firm’s UK contracting division. Mr AbuZayyad said: “I am delighted to announce that Gary Worrall has been appointed managing director of the UK Contracting Division to oversee the restructure and further development of the division.”
During 2008, Lorne Stewart’s turnover was £224m and its pre-tax profits were £6.1m.