Deferral of construction projects hits half year results but 拢81m forward book gives regional contractor confidence for 2007

North West construction group Pochin has been hit by a 41% drop in profit for the first half, amid a struggle to stabilise following its return to the black last year.

Pre-tax profit was 拢4.4m for the six months to 30 November, compared to 拢74.5m in the corresponding period the previous year. Turnover fell 29% to 拢53.2m, from 拢74.5m in the previous year.

The group鈥檚 results were affected by the deferral of a number of projects in its contracting division, although it now has a forward order book of 拢81m. The company has also taken action to reduce deficit in its final salary pension scheme, with all stakeholders agreeing to revised benefits.

Pochin returned to profit last year following a restructuring of its construction services business.

Richard Fildes, chairman, said: 鈥淭he group has made a solid start to the second half of the year, which should result in a satisfactory outcome for the full year.鈥�

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