Architect blames 69% profit drop on 'tightening of credit lines in the construction sector'
Zaha Hadid Architects has blamed a 69% slump in profit on the difficulty in financing projects.
The firm鈥檚 pre-tax profit fell from 拢5m to 拢1.58m in the year ended 30 April 2009. Despite this, turnover rose 拢3m to 拢29.2m.
In its annual report filed at Companies House, the practice blamed the fall in profit on the 鈥渢he tightening of credit lines, particularly those in the construction sector, and the knock-on impact that has had on the architectural world鈥.
This has not stopped the highest paid director, presumed to be Hadid herself, taking a pay rise of 31% to 拢490,000.
The figures showed that the firm relies increasingly on fees from overseas work: 拢24.5m compared with 拢19.2m the year before. UK turnover fell from 拢7m to 拢4.7m.
The practice employed a monthly average of 290 people over the year, who received an average salary of 拢31,663. It
ended the year with shareholder funds of 拢5.3m, up from 拢4.7m
in 2008.
It hopes to expand its work in the Far East, and is expecting
to open the Guangzhou Opera House in southern China later this year. In the UK, it is the designer of the aquatics centre for the London Olympics.
n London 2012 velodrome designer Hopkins Architects has posted a pre-tax profit of 拢2.9m for the 12 months ending 31 March 2009, 69% higher than the 拢1.7m it made the previous year. Turnover was 拢13.8m, up from 拢10.1m.
About 拢9m of that turnover came from its work in the UK, but the proportion of income from Europe more than doubled to 拢2.6m from 拢1.2m.
Hopkins, which last year started work on University College London鈥檚 Phase 3 Cancer Centre, said that performance was 鈥渟trong throughout the year鈥.
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