Consultant grows revenue and staff numbers off back of UK market recovery

A 鈥減owerful recovery鈥� in the UK helped Sweett post an increase in overall revenue of 9% to 拢89.4m in the year to 31 March 2014.

The consultant posted unchanged operating profit of 拢2.3m for the year, but a 拢970,000 non-cash gain from exiting a foreign exchange contract hedging Australian dollars, boosting its pre-tax profit, which includes finance costs and gains, by 56% to 拢2.8m, up from 拢1.8m the previous year.

The firm鈥檚 order book grew by 拢9m to 拢109m, while staff numbers grew 10% to 1,535.

Sweett鈥檚 European division, of which the UK makes up the lion鈥檚 share, grew 12% to post 拢49.3m revenue, up from 拢33.2m the previous year.

Sweett said recovery in the UK regions outside London and the South-east had boosted the business, as well as expanding its presence in the UK energy and infrastructure sectors, with these divisions growing 145% on the previous year.

Sweett argued its continuing independence in the context of consolidation elsewhere in the UK consultancy market had also boosted the firm: 鈥淎s one of the few remaining players who can offer a truly independent service with global capability, we are in a solid position to benefit from the improvements which we see [in the UK market].鈥�

The firm鈥檚 Asia Pacific division grew 10% to 拢28.6m, up from 拢26m, while its Middle East, Africa and India division contracted 3% to 拢11.8m, down from 拢12.2m.

Sweett said discussions were 鈥渙ngoing鈥� with the UK鈥檚 Serious Fraud Office and the US鈥檚 Department of Justice over bribery allegations made in the Wall Street Journal in June 2013 relating to the Sweett鈥檚 historic operations in the Middle East.

Sweett said 鈥渘o proceedings have been issued by either of them鈥� and a second independent investigation commissioned by the firm to investigate the claims, by lawyers Mayer Brown, is ongoing.

The firm increased its planned total dividend payment for the year to 1.3p per share, up from 1p the previous year.

Dean Webster, chief executive officer of Sweett Group, said: 鈥溾�漈he Group has performed strongly driven by a powerful recovery in the UK market, where we have gained market share.  

鈥淥ur order book is at record levels and we are trading well with prospects for turnover and margin improvement being on track.  

鈥淎s a provider of independent services with a solid global platform we relish the opportunities ahead of us as we see global economies strengthen.鈥�

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