A specialist civil engineering contractor has said its business strategy is strong enough despite suffering a dip in profit.
Ipswich-based One Group Construction said it was “extremely pleased” with its results for the year to 31 December 2023, as it pointed to its “overall business resilience”.
It posted a pre-tax profit of £5.5m for the year, compared with £7m in the prior year. But turnover did increase from £164.5m to £166.8m, which it described as “another set of strong consolidated results”.
One Group added that one of its “key strengths” is its sector diversity. Work has included projects including schools and highways.
“While our businesses are all construction and logistics related, individually they work in many different specific sectors,” the firm said in its accounts. “This wide client base ensures we are not overcommitted to any particular market and has helped us achieve another set of strong consolidated results.”
The firm predicted that the growth of its freight volumes and warehousing facilities will further boost its resilience. One Group is a holding company for nine subsidiaries working in the freight and construction sector.
According to its accounts, its work in the civil engineering sector accounted for around 65 per cent of its overall work, while work in the building and glazing industries accounted for 19 and 8 per cent respectively.
The accounts also revealed that One Group Construction had taken out bank overdrafts worth £11.9m, which are due at the end of 2024. At the end of 2022, those overdrafts were valued at £11.4m.
One Group Construction was the 99th biggest contractor in the latest CN100 list of the 100 biggest construction contractors in the UK. The slight increase in turnover would take One Group up to 97th spot in the table.
