North East construction company Brims says it is looking ahead with confidence after a strong year with rising revenues and profits, despite challenges of labour and material shortages.
The Sunderland based business posted a 27.5% increase in turnover to £33.35m in the year to March 31, while operating profit also rose, by 65% to £2.33m. Pre-tax profit meanwhile was £2m, up 53% on the 2021 figure. The company covers diverse sectors across the North East and projects during the year including a £5m housing project in Gateshead, a £1.9m specialist day school at Ashbrooke School in Sunderland, school extensions at Benedict Biscop & St Pauls, Sunderland for £1.1m, the £4.9m Blyth sports centre refurbishment.
A £2.3m new Home Bargains store in Ashington was also completed in January, as well as a £2.3m advanced engineering research facility in Newcastle. Brims said it has seen increased activity in the Teesside area and over the last year has constructed offices in the Port of Middlesbrough for AV Dawson, a health centre in Stokesley and currently has a residential scheme for Middlesbrough Development Company on site.
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The workforce increased in line with the rising workload, from an average of 74 workers to 80. During the year an interim dividend of £5.967m for Brims Building Group was approved by the board.
In the accounts the commercial director Ian Clift said the figures were “excellent considering the challenges of inflation and disruption as we move on from the global pandemic”.
He highlighted how the main challenge in the accounts year was the the aftershocks of material and labour shortages as well as significant inflation, saying “however, at our heart we are a company of problem-solvers, and these issues as well as others are being successfully overcome. Everyone within our business continues to work extremely hard to successfully manage the operational impact from the pandemic aftershocks and maintain effective operations for our clients.”
After the accounts were released, Mr Clift told BusinessLive how the firm is looking to the future with confidence. He said: “Despite industry challenges it’s been a very strong year for Brims with increased turnover and profit. It was also the year that saw Brims successfully complete a share buy-back from Adderstone.
“Looking forward, whilst labour and material pressures have eased increased energy costs, inflation and interest rates are causing testing conditions moving forward but we certainly feel Brims are up to the challenge.
“We’ve always seen it as key strength to work across a number of industry sectors and this currently sees us working on a diverse range of projects such as the Ad Gefrin Whisky Distillery and visitor experience in Wooler which will be completing soon, retail units at South Beach in Blyth for Blagdon Estates, a new healthcare facility at South Tyneside Hospital and new offices both in Sunderland at The Yard for Hanro and at Airview Park for Tyneexe next to Newcastle Airport.
“Recent awards also include residential work for Sunderland Housing, works to Durham Castle for Durham University, new units at Metro Retail Park in Gateshead and works to Newcastle Airport in the security areas. Tender activity remains high and with a number of projects being discussed and negotiated we continue to move forward with clear focus and confidence.“
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