Restructure hits bottom line but long-term utilities contracts boost family-run firm

Pre-tax profit has fallen by a third at McNicholas Construction following a major restructure.

Figures released this week by 鈥楪reen Macs鈥� showed that pre-tax profit dropped 30% to 拢2.1m for the year ending 21 march 2006. Turnover fell by 17% to 拢143m.

It has been a turbulent few years for McNicholas Construction which has had three chief executives in the past three years and as recently as 2003 was making losses of 拢9m.

Two years ago the company restructured to concentrate on rail, civil engineering and utilities work.

Group chief executive Barry McNicholas said: 鈥淗aving strategically downsized selected parts of our operation in 2005/6, which is reflected in these results, our business is now growing again in this current financial year in a controlled and selective manner."

"We have been successful in securing a number of long-term contracts in the utilities sector with key, blue-chip clients and we are confident in our continued success in the rail, civil engineering and renewable energy markets. These factors and our strong financial position provides us with a very positive outlook for the future.鈥�