In the year to 30th June 2020 Premier Modular saw turnover rise to £65.8m, up 23% on 2019’s £52.8m but still below 2018’s peak figure of £72.0m.
Pre-tax profit was up 23% to £7.0m (2019: £5.7m).
Earnings before interest, taxation, depreciation and amortisation (Ebitda) was up 35% to £10.6m, the latest accounts show.
Growth was reported in both the offsite construction business and in the hire of temporary modular buildings.
Work continued on all but two Premier sites throughout the pandemic and since March 2020 Premier has expanded its workforce with an additional 85 people.
Managing director David Harris said: “This strong financial performance is down to clarity of strategy and a really exceptional team across the business. We have focused on our customers and how we can offer a fast response and unrivalled flexibility to meet the specific requirements for each project. This has definitely added value to our building solutions and has resulted in a high level of repeat business.
“We have a healthy balance sheet, an outstanding supply chain and will continue to invest in our capital growth. We have diversified into a range of market sectors which further reduces risk in an uncertain economic climate. In the past year, we have achieved significant growth with our modular apartments and in particular in the development of rapid building solutions to provide housing for the homeless. We are also building on the success of our hire business in London to supply construction site accommodation to major national and regional contractors across the UK.”
“Despite the challenging economic conditions, we remain on target with our ambitious growth strategy. We will continue to reinvest and expand our hire fleet to ensure the fastest possible response for our customers. This includes growing our range of products to further increase market share.”
“We continue to receive a healthy level of enquiries in every sector – from healthcare and education to commercial, infrastructure and construction. Our project pipeline for both bespoke offsite construction and temporary modular buildings is very positive with a number of major contracts already in place for delivery in 2021.”
Current projects include a £9m offsite housing project in High Wycombe for Buckinghamshire Council, to build apartments for homeless families, and a £1.7m ward building for North Middlesex University Hospital.
Premier Modular, based in Driffield, East Yorkshire, is a subsidiary of South Africa’s Waco International Holdings.
Got a story? Email news@theconstructionindex.co.uk
