Consultant says it will focus on energy, transport and public sector as it announces profit rise of 21%

EC Harris has announced plans to restructure and cut jobs as it revealed its results for the past financial year. It will now focus on the energy and transportation sectors, among others.

Revealing the results exclusively to 好色先生TV, Philip Youell, its chief executive, said redundancies were 鈥渋nevitable鈥� following the reshape, which will involve greater emphasis on the public sector and oil and gas markets.

He said: 鈥淭he global market adjustments have required a shift in emphasis towards the energy, transportation, public, oil and gas sectors, where major investment is continuing. Unfortunately, not all our people will have the skills or mobility to embrace this and there will be redundancies.鈥�

He declined to say how many staff would be affected.

The firm also signed a deal this week to buy healthcare consultant RKW for an undisclosed sum, which will bring its health team to 100.

The news came as the firm announced a pre-tax profit rise of 21% to 拢36.2m for the year to 30 April 2008, compared with 拢29.8m last year. Turnover was up 31% to 拢267m from 拢203m.

Property was the most lucrative sector, accounting for 44% of profit. The public sector contributed 28% of profit, as did industrial and infrastructure work.

The highest paid partner received 拢1.07m, a 52% increase on 2007 and the average profit share was 拢172,000, up 15%.

Turnover for the five months to 30 September rose 25% to 拢121m from 拢97m last year. But Youell said this would be difficult to maintain in the 鈥渧ery challenging鈥� conditions expected in 2009.

The firm, which took about 40% of its income from overseas last year, said it had seen particular growth in the Middle East. It is also planning to capitalise on its oil and gas work in Houston, Texas, to raise its US presence.

David Sparrow, EC Harris鈥� head of client solutions, said: 鈥淭he UK relies on financial services but the US has a huge mixture of manufacturing and other sectors and will bounce back as a result.鈥�

Conor Ellis, the health sector leader, said the acquisition of RKW would help it win work overseas. 鈥淪tate health providers understand the need to look at best practice from abroad,鈥� he said.


Topics