Retained Keltbray business turns in improved set of numbers

The retained part of Keltbray posted improved turnover and profit last year, figures now filed at Companies House show.

Keltbray sold its infrastructure business to private equity last summer with that company renamed Aureos at the end of last year.

The sale, which includes its rail and highways business, meant Keltbray returned to its building roots and now concentrates on ground engineering, demolition, sub and super structure work as well as construction plant.

In accounts for the year to 31 October last year, Keltbray Built Environment posted a 17% rise in revenue to £364m and a pre-tax profit of £3.2m from £44,000 last time.

>> See also: ‘It was always the plan….’ Keltbray’s Brendan Kerr on selling the firm’s infrastructure business and what he’s going to do next

The number of staff at the business was up 12% to 600 people while cash at the bank at the year-end was up from £2.1m to £7.9m.

The firm added that it will pay its £18m penalty for its role in the demolition sector’s bid rigging scandal over three years.

Last December, it lost its appeal against the original £16m fine it was hit with in 2023 by the Competition and Markets Authority (CMA) when it and nine others were fined a total of £60m for their involvement in bid rigging.

Keltbray, which was found guilty of eight bid rigging infringements, immediately appealed the amount, arguing that it was excessive.

Elsewhere, the firm said it has secured £350m-worth of work for the current financial year and in the accounts added that it had “stepped away from a number of bids which were deemed to be below the minimum margin required”.

Last month, Keltbray agreed a £30m credit deal with Metro Bank which is split between a £10m overdraft facility and a £20m revolving credit facility.

Meanwhile, turnover at Keltbray Group, which includes eight months of figures from the now disposed of infrastructure business, fell 9% to £624.5m. Pre-tax losses increased from £1.2m to £8m.

In a note accompanying the accounts, it said that the CMA claim had seen it spend £12.8m during the year which, it added, “relate[s] to the settlement of claim and legal costs”.