Willmott Dixon has experienced its second consecutive year of pre-tax losses but remains optimistic about its future prospects.
- The firm reported a £14.4m pre-tax loss for 2023, a downturn from £8.7m in 2022.
- In terms of turnover, the company showed slight progress, reporting a 2% increase to £1.172bn in 2023.
- Despite these challenges, 2024 has begun on a promising note with over £700m in new orders by May, contributing to a record order book exceeding £3bn.
- Key figures within the company express confidence in overcoming past setbacks and foresee a profitable year ahead.
For the consecutive year, Willmott Dixon has reported a pre-tax loss, with the 2023 figures standing at £14.4m. This marks a decline from 2022, where the company faced a loss of £8.7m. The business attributes its financial challenges to significant supply chain partner insolvencies which heavily impacted several projects.
Despite these setbacks, Willmott Dixon’s turnover for 2023 reached £1.172bn, reflecting a minor increase of 2% from the previous year’s £1.147bn. This turnover includes £1.043bn from the Willmott Dixon Construction division, with Interiors contributing £130.9m. Such results demonstrate the firm’s ability to maintain operational activity amidst adversity.
Financially, the company maintains robust fundamentals, possessing £115.1m in cash with net assets estimated at £158.8m, and notably, no debt. This financial resilience positions Willmott Dixon to capitalise on emergent opportunities.
The outlook for 2024 is notably optimistic, with new orders amounting to £700m by the end of May and an overall order book valued at more than £3bn. Chief Executive Graham Dundas articulates a positive outlook, noting improvements in profit and turnover for the first quarter, well ahead of projected forecasts.
Dundas, who succeeded Rick Willmott in January, acknowledges the challenges of 2023, especially with inflation and supply chain disruptions. Yet, he highlights the easing of inflationary pressures and a robust pipeline of work, underscoring a strategic positioning for the company to thrive in 2024.
Despite a challenging year, Willmott Dixon is strategically poised to rebound and achieve growth in the upcoming year.
