Listed architect blames UK industry woes for revenue decline
Architect Aukett Swanke saw first half revenues slump by a fifth, driven down by what the firm called ongoing stagnation in the UK construction market which showed 鈥渘o clear-cut evidence of recovery鈥�.
The country鈥檚 only listed architect had warned in April that it would sink further into the red, following losses posted last year.
Total revenue for the practice in the six months to the end of March 2018 fell 19% to 拢7.4m, while it posted a total loss of 拢1.2m, more than twice the deficit reported at the same point last year.
Reduced activity and delayed starts hit the firm鈥檚 UK operation, which accounted for 43% of its total revenue.
The operation recorded turnover of 拢3.2m, down 30%, while a loss of 拢879,000, four times the deficit of a year ago, was partly put down to cost control coming in at half the rate of the revenue decline.
The picture was similarly gloomy across Aukett Swanke鈥檚 Middle East and UAE operations, where the results were deemed 鈥渄isappointing鈥�.
The firm鈥檚 European operation had seen a 鈥渕ixed performance鈥�, with 鈥渕uch reduced losses鈥� in Russia, while it turned a profit in Turkey.
Nicholas Thompson, Aukett Swanke鈥檚 chief executive, said the firm鈥檚 plan to cut costs would continue, although 鈥渢his by itself will not resolve market issues and the group鈥檚 performance.
鈥淥ur overseas operations are beginning to benefit from reorganisation but, overall, as previously highlighted, we expect a group loss for the full year despite a better second half.鈥�
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