Driver returns to profit

published 18 January 2012

Shares in construction consultancy Driver stepped on the gas as it reported a return to profit, growth in revenue, and underlined its confidence in future trading with a proposed dividend of 0.5p per share for 2011.

Given the trading environment in the last 12 months the group said its performance was encouraging and it is satisfied with the start to the current year.

Trading in Europe, which accounts for nearly 70% of group revenue, increased 11% from 2010 as it beefed up its presence in the UK Power & Process market.

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"In addition, we have started to see a stabilisation in the general construction market following its decline in 2010," it said in a company statement.

Driver, which started restructuring plans and new initiatives last year, said opportunities in Qatar, Africa, the UK Power & Process sector and international disputes managed from the UK are starting to deliver positive results.

For the Year to 30 September 2011 the group reported a pre-tax profit £349,000 compared to a loss of £809,000 a year earlier. Revenue increased to £17.4m from £16.4m.

Driver said it has eliminated debt and is now cash positive.

"Last year was a year of restructuring, cost cutting and consolidation to prepare a platform for growth and a return to profitability. This has been achieved," Driver said.

"We see the coming year as one in which we will continue to develop our operations in Africa, the UK Power & Process sector and Qatar and maintain a stable environment in our remaining businesses. We have some exciting opportunities but are mindful of the macroeconomic environment."