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Speaking after the group broke through the 拢1bn-turnover barrier in the year to 30 June 2008, David Lawther said the biggest growth areas for the company were Asia and the Middle East.

He said: 鈥淎t the moment 26% of operating profit comes from overseas but that should rise to 40% in three years. That doesn鈥檛 include acquisitions or the joint venture we鈥檝e just signed in the Middle East, so it will quite possibly exceed 50%.鈥�

The company has signalled its intention to move into the Middle East market through an agreement with Al Habtoor Leighton Group, which is based in Dubai. Lawther said turnover in the first year would be about 拢10m and the group planned to move into Dubai, Abu Dhabi and Qatar.

Lawther said: 鈥淭he overseas markets are less mature than the UK and clients like banks are looking to take advantage of these growing economies.鈥�

Pre-tax profit over the year was up 26% from 拢10m to 拢12.6m and turnover grew 42% from 拢767m to 拢1.1bn. The group鈥檚 margin fell from 1.3% to 1.2% and Lawther conceded that certain areas were under pressure because of the credit crunch.

He said: 鈥淎t the smaller end of the London fit-out market it鈥檚 no secret that we are budgeting for a lower margin.鈥�

Lawther also pointed to a slowdown in spending among fashion retailers, although he said food retailers were continuing with fit-outs.

Lawther said the group would continue to move away from its core London office fit-out market. He highlighted data centres and transport as two areas the company was moving into.

The share price rose 1% to 205p in early trading on Tuesday.