Office fit-out specialist Oktra has reported a dip in turnover and profit – but company directors said they were “satisfied” by the results.
The firm turned over £113.6m in the year to 31 May 2024, a 5.8 per cent drop from £120.8m a year earlier. Its latest turnover figure includes £8.2m earned through furniture retailing, with the remaining £105.4m coming from office fit out and related design and consultancy.
Oktra’s pre-tax profit also fell, by £2.6m to £8.7m, meaning its profit margin sank from 9.4 to 7.7 per cent.
However, the strategic report with the latest accounts pointed out that the firm’s turnover, profit and margin remained higher than its 2021/22 financial year.
“The performance for the year was in line with expectations,” chief operations officer Martin Leeper said. “The directors are satisfied with these results.”
Oktra has offices in the City of London, Guildford, Birmingham and Manchester. The company said it expected “healthy competition in 2024/25 but [is] optimistic about the sector and [its] opportunities to take market share”.
It added that its exposure to inflation risk is significantly reduced compared with other contractors, because its average project length is three to four months and procurement is done at the start of its work.
The company increased its average number of staff by 30 to 181 during its past financial year, while directors’ remuneration fell by £340,000 to £3.6m. The group paid a dividend of £7.4m during year, down from £9.1m a year earlier.
Leeper said Oktra’s future performance “depends predominantly on commercial property development in London and the South East”, adding that “a slowdown in this activity would have an impact on the company”.
But he added: “Even in a suppressed property market, the expansion and contraction of individual UK businesses creates potential opportunities for the company.”
