M&E specialist Skanska Rashleigh Weatherfoil has seen an impressive boost in turnover and its operating margin following success in the Advanced Technology sector.
The company increased revenue by 11 per cent for the year ended 31 December 2023, to £296.6 million from the £266.6 million in the previous financial period, generating a pre-tax profit of £18.2 million (FY2022: £312,000 loss).
While the operating profit for the year was £14.6 million, a significant recovery from a £0.8 million loss recorded in the prior year, with an operating margin of 4.9 per cent (FY2022: -0.3 per cent).
The Watford-headquartered contractor, part of the UK Skanska Group, said the result was largely due to growth in data centre construction contracts where it intends to increase its market share.
It added: “The operational performance improved during the year with a reduction in defects from legacy projects compared to the prior year.
“While the market conditions remain challenging, the Board considers that there is scope for development of the company’s activities.”
At the year end, Skanska Rashleigh Weatherfoil’s balance sheet had total assets of £198.6 million, an improvement on the £176.3 million the year before, with cash reserves of £107.2 million, well above the £75.3 million recorded in FY2022.
The business posted profit for the year of £14 million, following a £131,000 loss in the prior trading period.
The directors did not recommend payment of a final dividend (FY2022: £NIL).
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