A huge increase in its pre-tax figures last year saw industrial contractor Altrad Services savour profits, notwithstanding asbestos-related claim provisions of £90 million.
The South Yorkshire-based company, which provides fire protection, environmental, and insulation services focused on the energy and natural resources sector, posted the results in its latest end of year annual accounts for 2024.
A UK subsidiary of France-based Altrad, the results show a pre-tax profit of £47.9 million – an increase from £23.9 million the previous year.
Turnover for the year increased to £486.9 million, from £334 million in 2023.
Its profit for the year stood at £37.3 million (FY2023: £25 million) which has been transferred to reserves.
A dividend of £24.7 million was paid out, an increase from £15.9 million the year before.
The company said it continued to see considerable instability in the global environment, however, had remained resilient to report a strong financial performance.
It confirmed a provision of £92.6 million (FY2023: £100.2 million) for lodged and future industrial disease claims in respect of alleged asbestos exposure to previously manufactured asbestos products relating to its Cape subsidiary.
“There is a history of claims being made against the company for compensation arising from alleged exposure to products previously manufactured which contained asbestos,” it said.
“Provision has been made for the costs which the company is expected to incur in respect of lodged and future industrial disease claims to the extent that such costs can be reliably estimated.”
The amount of the provision is based on historic claim numbers and monetary settlements, as well as published tables of projected disease incidence.
Other provisions include for restructuring, property-related activities, and post-acquisition management compensation.
The group continues to receive claims, it said, and settlement of these are made when deemed to have merit.
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