Despite posting shrunken profits for 2020, the McAleer & Rushe board is feeling ‘very positive’.
Latest accounts filed by McAleer & Rushe Contracts UK show that pre-tax profit for the year to 31st December 2020 fell by 36% to £8.7m (2019: £13.7m) on turnover down 15% to £290m (2019: £340m).
“Despite market concerns in mid-202 regarding the longer term Covid impact on funder sentiment, our current outlook is very positive, particularly in both the student accommodation and residential sectors,” the directors said.
“The company restored and maintained Covid compliant site activities after the market-wide disruption of the initial Covid lockdown in March and April. The impact on securing new projects was largely temporary and a majority of target contracts were subsequently secured later in the year than initially projected. The overall impact of pausing and then re-establishing full site activities post first Covid lockdown has deferred turnover of not less than £50m to 2021. As a result of this deferred turnover, we now project delivery of £400m turnover in 2021 from contracts already in place.”
Turnover rising from £290m in 2020 to £400m in 2021 represents 38% growth.
Reduced dividends of £4m were paid out to the shareholders, Seamus McAleer and Eamonn Laverty, down from £8m in 2019.