Seddon Construction returns to profit

The recovery last year followed a strategic decision to maintain a sizeable pre-construction and bid resource during the Covid lockdowns.

This paid off as pre-tax profit recovered to £2.1m after revenue jumped 27% to £166m last year.

CEO Jonathan Seddon said: “Our pipeline of work remained strong throughout 2021, which supported the company ethos to maintain a stable overhead base, but we continued to face many delays in moving projects forward into the construction phase, particularly with an uncertain supply chain.”

The Bolton-based builder said it was maintaining a conscious limit on the number of large-scale general construction projects it undertakes in the present inflationary climate.

To improve risk management, the construction business is targeting a more diverse workload with an increased focus on property services, painting and maintenance work together with further growth of the established social housing arm.

Last month Seddon Construction secured its first major tender success on the Sellafield nuclear clean-up project.

The long-term key delivery partner deal will see Seddon deliver building fit-out requirements across the site under a 17-year deal worth around £175m.

The framework includes general construction activities such as: internal walls, ceilings, screeding, flooring, painting and joinery.

Meanwhile over last year construction headcount slipped 6% to 513 staff.

Across the wider Seddon Group, pre-tax profit rose to £8.5m from £7m, after revenue edged up to 5% to £210m.

At the year-end Seddon had cash of nearly £16m – down from £33m previously – and undrawn bank facilities totalling £3m.

 

Leave a comment