The Directors are proud to report another successful year for the business, with strong turnover growth and excellent profitability.
Group turnover (including share of joint venture projects) increased by 28% to £212.6m (2014: £165.7m) whilst profit for the financial year increased by 12.8% to £4.4m (2014: 3.9m).
Cash balances remained strong, increasing by 21% to £37.9m at 31st March 2015 (2014: £31.4m). Overall shareholders’ funds decreased slightly from £36.2m to £34m after a dividend of £4m was paid.
The group’s secured order book for FY16 and beyond remains strong with impressive wins in our core business sectors.
Lagan Construction Group’s Civil Engineering division has recently been awarded its first major road scheme for Highways England, as well as significant energy from waste contracts in North East England and London.
Lagan Construction International and Lagan US both continue to grow and have recently begun work on major airport projects in Cyprus, Gibraltar, Florida (USA) and North Dakota (USA).
Our building division recently commenced work on the new Ulster University campus in Belfast City Centre. The new university is one of the most significant developments to take place in Northern Ireland for decades and will take approximately 3 years to complete.
On 1st April 2015 the group completed the acquisition of H&J Martin Limited, another Belfast based construction company. H&J Martin are credited with building some of Belfast most iconic buildings, including Belfast City Hall, and adds significant expertise in construction, fit-out and facilities management to Lagan Construction Group.
Lagan Construction Group has recently lodged a major planning application to Belfast City Council for a 40,000 sq ft extension to its Rosemount House headquarters. This new state-of-the-art headquarter building will allow for the integration of H&J Martin into the Lagan Construction Group.
The Operation & Maintenance (O&M) division continues to expand both its service offering and geographical reach. Lagan O&M have recently successfully completed a number of major asphalt surfacing contracts in both Northern and Southern Ireland. In addition the division has set-up its own highway barrier business and won its first contracts in Scotland.
As a result of the group’s strong order book the directors forecast continued significant growth in the future with overall group turnover expected to exceed £300m in FY16.