TClarke unveils annual profit decline in tough construction market
UK building services contractor TClarke reported a 75 per cent drop in annual pre-tax profits on Tuesday, reflecting market challenges and property disposal.
UK building services contractor TClarke reported a 75 per cent drop in annual pre-tax profits on Tuesday, reflecting market challenges and property disposal.
Profit before tax for the year ended December 31st, 2012, came to £1.2m, down from £4.9m the previous year which benefited from a £2.2m property disposal.
The firm said underlying operating profit fell to £2.9m from £4.7m, blaming margin pressures in the market. Underlying operating profit margin dropped to 1.5% from 2.6%.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
However, turnover increased 5.5% to £193.8m, compared to £183.8m in 2011, as the group secured new contracts with the likes of JP Morgan, IMG Media, ITV Studios and Arcadia. The order book grew to £230m from £190m.
"TClarke and our people delivered a solid, profitable performance despite all the challenges of the construction sector," said Chief Executive Officer Mark Lawrence.
"We have an excellent forward order book with good visibility to a number of fully committed high quality opportunities particularly in the London commercial market."
The company improved its net cash position to £5.6m at year-end, up from £0.6m a year earlier.
TClarke proposed a final dividend of 2.0p per share, in line with the last year.
Looking ahead, the group expects to experience fierce competition for available workload and continuing margin pressure in 2013.
Shares declined 1.52% to 54.90p at 08:24 Tuesday.
RD
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
Giorgio Armani: the irreplaceable Il Signore
Giorgio Armani started his fashion business in 1975 and built it into the world’s largest private luxury brand. Where can it go without him?
-
A strange calm in credit
Corporate bond markets remain remarkably relaxed, with yields that offer little compensation for risks