Willmott Dixon makes a strong recovery from successive losses, back into the black with its latest half year results.
Turnover for the six months to 30 June 2024 dipped to £561.1 million from £589.0 million in the same period the year previous.
But the private construction and interiors company returned to profit, following on from a full year 2023 loss of £14.4 million (HY23 -£1.3 million), with a pre-tax profit of £10.0 million ahead of expectations.
Sixty-nine per cent of Willmott Dixon’s turnover came via long term frameworks, while 55 per cent was with repeat customers.
The firm also pins its strong first half down to a healthy cash position with £109.3 million cash at the bank, with shareholders’ funds increasing to £166.0 million (FY23: £158.8 million).
In July, Willmott reported a mix of full contract wins and preconstruction orders had led the order book to more than £3 billion for the first time.
By August, it agreed over £1.0 billion of new orders and 98 per cent of budgeted workload for 2024 is now contracted.
The company claims its record orderbook underlines both the high demand for construction work, and its “success in overcoming the challenges of a tough macro-economic environment, such as the high inflation which delayed several projects over the last 18 months.”
Willmott also reported securing £224.0 million of work through the Department for Education (DfE) framework, making us one of the most successful companies in its league tables.
In terms of outlook, the firm claims it is on track for returning to full year profit in 2024 and growth in 2025.
Willmott Dixon chief executive officer Graham Dundas said: “I’m pleased to start with the excellent news of a prompt and healthy return to profit for the business after a difficult 2023.
“While market conditions remain competitive, both profit and turnover are ahead of our forecasts, underlining my confidence in our ability to deliver profitable long-term growth.
“Reflecting on my first six months as CEO, I’m excited to be working with a group of very talented people who share the same vision of a company that delivers a career of a lifetime for our people, brilliant buildings for our customers and predictable profit for our long-term success.”
Was this interesting? Willmott Dixon – How a £1 job turned into a £3bn orderbook
If you have a tip or story idea that fts with our publication, please contact the news reporter miles@wavenews.co.uk
Get industry news in 5 minutes!
A daily email that makes industry news enjoyable. It’s completely free.
