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Broadway Malyan has reported a 4.7% drop in turnover across its global operations in its just-filed accounts for the year to April 30.

The practice 鈥� which recently secured planning permission to redevelop the former headquarters of the Birds Eye frozen food empire in Surrey 鈥� said pre-tax profit was down 29% from 拢2.4m to 拢1.7m.

Despite dropping to 拢48.2m against 拢50.6m the year before, Broadway Malyan鈥檚 overall turnover figure masked a small upturn in UK revenue 鈥� at 拢21.5m 鈥� and a 25.5% upturn in European revenue to 拢7.7m.

But director Ian Apsley cautioned that the business anticipated its relatively strong UK performance was 鈥渦nlikely to continue鈥� and that market demand was expected to reduce in the year ahead.

Broadway Malyan鈥檚 UK and Europe figures were counterbalanced by a 9.4% drop in turnover from the Middle East and Asia and a 42.9% plunge in revenue from the rest of the world.

The firm said the reduction in Middle East and Asia turnover was largely due to the completion of big projects that had not been replaced with schemes of similar size in the pipeline. It said the 鈥渞est of the world鈥� drop was the result of a reduction in demand from developing countries, attributed to lower oil-related revenues, and a drop off in work in South America.

Apsley (pictured) said the first quarter of 2017-18 had been 鈥渧ery difficult鈥� and that 鈥渋n common with many of our industry peers, the trading environment, particularly in the UK, has been challenging鈥�.

He added that the business had also found the conversion of leads into live projects had 鈥渟ignificantly extended鈥�, while 鈥渟everal projects鈥� had been put on hold.

鈥淭o mitigate the slower sales, the directors made some tough decisions to control costs and cash, and to focus on building a stronger project pipeline,鈥� he said.

The firm also booked a 拢203,000 exceptional item which it said 鈥渞elates to an onerous contract for a mixed-use development which was entered into during the last recession鈥�.

Apsley added: 鈥淭hese actions were successful in delivering improvements to profitability through the second half-year, and although the overall result for the year was weaker than in 2016-19, the directors are satisfied the actions taken significantly improved the overall outcome.鈥�

Apsley said the last two quarters of 2017-18 had been 鈥渟ignificantly stronger鈥� than the first half of the year, meaning the overall results reflected a 鈥渞eally robust performance in the face of what has been an incredibly uncertain period for everyone in our sector鈥�.

According to the Broadway Malyan鈥檚 accounts, the firm had an average of 495 staff on its books in 2017-18 鈥� broadly the same as the previous year.