McLaren Construction is on course to exceed its target of £1 billion in revenue as the tier one contractor continues to take on more ambitious projects and new business from loyal customers.
While turnover for the year ended 31 July 2024 was £924 million, slightly behind the year prior (£964 million), pre-tax profit almost doubled to £11.9 million (FY2023: £6.3 million).
Seventy-four per cent of the contractor’s turnover came from repeat business with long-standing customers and developers such as British Land, Landsec, Miller Developments and others.
McLaren’s new construction management division, Regeneration, launched in August last year, secured a major refurbishment contract during the year from real estate investor Landsec – Thirty High, valued at £200 million.
Meanwhile, the London & South division secured the £132 million refurbishment of 318 Oxford Street for Publica Properties, alongside the ongoing ExCeL London expansion for ADNEC for £200 million.
“A stable year, full of successes for our customers and teams, has given us the foundations for further growth and diversification from the second half of 2024,” said chairman Kevin Taylor.
“2025 will be the year we exceed turnover of £1 billion and that is a major achievement for a privately owned contractor.”
While a growing proportion of work was gained from the public sector, the firm’s expertise in a broad range of sectors positions it to meet demand for industrial and logistics hubs, data centres, office refurbishments and building safety remediation.
A further £2.5 million was invested in technical expertise, helping to meet carbon reduction targets and the move to digital construction.
And in line with the Building Safety Act, McLaren continues to deliver the recladding and refurbishment of four towers on Camden’s Chalcots Estate – a contract worth more than £100 million.
Group chief executive Paul Heather said: “McLaren’s management of supply chain inflation is typical of an increasingly disciplined and technically adept business that has helped us to continue to grow.
“The systems are in place to channel the firm’s considerable in-house expertise into every project and to monitor performance in real time, whether that’s environmental impact or quality control.
“The results are seen in the successful delivery of an increasing number of projects worth over £150 million.”
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