NG Bailey turnover hits £525m – but profit halves

For the first time in its history, private m&e group NG Bailey has passed the £500m mark, with an annual turnover of £525m for the 12 months to 29 February 2008.

Turnover was up 12% on the previous year.

Despite this achievement, pre-tax profit went the other way, falling from £18m in 2007 to £8m within the 12 month period.

NG Bailey stated that successful growth was negatively impacted by the rising cost of raw materials such as copper and challenging contractual issues, particularly in the rail sector.

The firm described prospects for the next financial year as “encouraging”.

NG Bailey chairman Nimble Thompson said: “The underlying performance of our business is strong and this can be seen in the fact that our order book for the next financial year is more than 80% full.”

Thompson also revealed that the company would continue to grow its offering organically and seek potential acquisitions, from initial design through to facilities management and refurbishment, despite difficulties in the construction market.