Business

Acheson & Glover turns corner after big sales hike and strong pre-tax profit

Acheson & Glover has returned to profit from heavy losses in 2017
Acheson & Glover has returned to profit from heavy losses in 2017 Acheson & Glover has returned to profit from heavy losses in 2017

THE parent firm of Tyrone construction Acheson & Glover has put a torrid trading period behind it by swinging back into profit from a hefty loss the previous year.

And it came during a year when its pre-cast division was placed into administration with the loss of more than 100 jobs.

Consolidated accounts under Acheson Holdings Limited (AHL) show pre-tax profits covering the nine-month period from March to December last year have risen from a £4 million loss for the 12-month period until March 2018 to a profit of £132,000 over the condensed year.

Bank debts have also been reduced by £8.1m over the same period, achieved through the disposal of non-core assets and as a result of a long-term supply agreement for the provision of aggregates to a third party.

Acheson & Glover Limited (AGL) has grown its turnover by 19 per cent over the nine-month period, with pre tax profit rising from a £400,000 loss to a £1.3m profit. The company’s balance sheet shows net asset value has also risen from £21,719,922 to £24,379,602.

The group’s consolidated results include losses from Acheson and Glover Precast Limited, which the directors placed into administration last November, shutting operations in Magherafelt and Ballygawley.

The directors have expressed confidence that the business - which manufactures and sells a range of concrete building products throughout the UK and Ireland to both commercial and domestic markets - is well positioned and resourced to achieve further growth.

In a statement they said: “We are focused heavily on high added-value and innovative products aimed at the specification market across the UK and Ireland. As a result, the order intake is performing more strongly than at any time in the last eight years and the directors plan to continue the sales growth into 2019 and beyond.

“By ensuring our proposition and product range is more geared towards the value-added market, we have generated a strong order book right across all sectors and, especially in Great Britain, where we are poised for strong growth in 2019.

“During the nine month period in question the company completed a major capital investment of £2m on a wash plant facility in Fivemiletown that will enable it to improve the efficiency of its quarrying operations as well as providing improvements to finished products due to the high and consistent quality of the raw materials used. This investment supports our ongoing commitment to minimise the impact of its operations on the environment.

“The directors intend to continue with further capital investments and debt reductions over the next few years. We also intend to continue the company’s investment in research and development to ensure we remain at the forefront of innovation within our sector.”

AGL employs 240 people and has been producing innovative hard landscaping products for almost 60 years.