Contractor Bam Nuttall saw a strong increase of 16% in turnover to £809M last year but has battled to keep margins from suffering in tough market conditions.
Results for the year ending 31 December 2011 reveal the firm made a pre-tax profit of £14.1M, squeezing its profit margin down to 1.7%. Last year it made a margin of 2.3%.
Bam Nuttall chief executive Steve Fox told NCE that he believed its margins in 2011 remained at the upper end of industry.
Fox also stressed that the firm had been successful in continuing to pick up the larger value contracts. The firm’s order book remained steady at £966M for 2011 against £967M for 2010.
Fox also warned that the prospects for the next three years would remain “very dfficult”.
Full interview to follow in next week’s NCE.