Profit falls across all three of Dutch construction giant鈥檚 UK subsidiaries and down a third at Bam Construct

Profit across the Royal Bam Group of companies in the UK 鈥 which includes contractor Bam Construct and civil engineer Bam Nuttall 鈥 fell by more than a fifth in 2011.

Pre-tax profit fell across all three of the Dutch construction giant鈥檚 UK subsidiaries, with a 21% drop overall to 拢28.9m in the year ended 31 December 2011, down from 拢36.7m the previous year.

But turnover across the UK companies grew by 2% to just over 拢1.8bn, thanks to strong revenue growth at Bam Nuttall, which recorded its highest ever turnover.

Major wins on Crossrail helped push Bam Nuttall鈥檚 revenue to a record 拢809m, up 17% from 拢684m in 2010.

Pre-tax profit at Bam Nuttall fell by 9% from 拢15.7m in 2010 to 拢14.3m last year.

Bam Construct and Bam PPP fared less well, with turnover down 9% at both divisions, to 拢946m and 拢55.7m respectively.

Pre-tax profit at Bam Construct fell by a third from 拢17.1m in 2010 to 拢11.5m last year.

The combined forward order book for all three divisions stands at 拢2.8bn.

Martin Rogers, member of the executive board of Royal Bam Group, said: 鈥淭he steady performance is the result of a heightened focus on prudently managing the difficulties inherent in the UK market.

鈥淭he companies have resisted the temptation to bid at unsustainable prices, have concentrated on maintaining standards and additional management and supervision of the supply chain.鈥

Bam鈥檚 UK results highlights 鈥

Bam Construct UK2011 拢 m2010 拢 m
Turnover945.91,037.2
Pre-tax profit11.517.1
Operating margin1.2%1.6%

                   

Bam Nuttall2011 拢 m2010 拢 m
Turnover809 694
Pre-tax profit14.3  15.7
Operating margin1.8%2.2%

 

Bam PPP2011 拢 m2010 拢 m
Turnover55.760.9
Pre-tax profit3.13.9
Work in hand483.6839.9