Morrisroe Group revenue tops £200m

The Hertfordshire group’s pre-tax profit dropped to £2.7m in the year to October 2021, down from £5.8m previously as the pandemic and inflation dragged down profitability.

The concrete arm A J Morrisroe + Son accounted for around two-thirds of the revenue growth, with joinery specialist Houston Cox Central contributing 15% and Cantillon Demolition 11%.

Chief executive Brian Morrisroe said: “Some deterioration in margin was experienced as a result of being caught in fixed priced contracts with inflationary pressures in relation to labour and materials.

“Despite this, the group has been able to maintain profit albeit at a reduced margin of 7.5%.”

Morrisroe trading over 3 years
2021 2020 2019
Pretax profit £2.7m £5.8m £10.7m
Revenue £202m £154m £117m
Cash £38m £53m £60m
Assets £73m £71m £66m

 

At the end of the trading year the group’s work pipeline amounted to £238m, with sales forecast for this year to be stable at around £200m.

Morrisroe said it had set aside £720,000 in the period to cover expected fines to be handed down to Cantillon, which it bought in July 2020,  following the firm’s involvement in a demolition bid-rigging ring uncovered by the Competition and Markets Authority over a period extending from 2013-2017.

 

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