A Scottish builder has posted a near-75 per cent rise in pre-tax profit in its latest annual accounts.
James Walker (Leith), which has operations including construction, property, and facilities management, hailed “strong financial results despite ongoing volatile trading conditions”.
The Livingston-based company said in its annual report it had recorded a 73.2% rise in pre-tax profits for the year ended March 31, 2022, to £29.6m from £17.1m for the same period the year before.
The company offloaded two of its timber businesses during the year with an £8.2m subsidiary sale gain. Turnover rose from £162m to £199m.
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The business said in accounts lodged with Companies House: “Navigation of the continued impacts of supply chain disruption continues to be a significant focus."
The company said development performance during the year “was satisfactory and in line with group budget”, adding: “This was despite challenging conditions.
"[The] ongoing unprecedented supply chain shortages, both in terms of materials and availability of skilled trades, continue to present construction management challenges."
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He said: "While demand for new-build residential properties remains strong, increasing construction cost is putting pressure on development margins.”
It reported “improving industry activity levels as the construction sector recovers from the Covid pandemic”.
Affordable housing “continued to underpin" building, it said.
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The company sold its investment in Walker Timber Ltd in November 2021. Also included in the statement are profits of £1.5m from Walker Timber Ltd up to the point of sale.
Pattrick Thompsons Ltd was sold in May 2022, with £10,363 of profits included in the accounts.
At the year-end group net assets had risen to £169m, set against £138m the year before, with available cash of £103m, against £67m in 2021.
The return on shareholders’ funds before tax was up 41%, to 17.5%.
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