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GMI triples revenue but records multimillion pound loss

GMI Building’s turnover has tripled to £360m after what it described as a “buoyant yr”, though this was offset by a £2.2m pre-tax loss within the yr to 30 September 2022.

GMI attributed the turnover enhance to its enlargement into new areas such because the North East of England and a “enterprise enchancment programme” that allowed it to tackle extra higher-value and sophisticated initiatives. The agency moved its North East division into bigger premises in Stockton-on-Tees final month in a bid to safe extra enterprise within the area.

It recorded a turnover of £121m within the prior.

The rise means GMI met its £350m-turnover target for 2022, which it laid out final January. GMI additionally appointed Lee Powell (pictured) as its chief govt final January to steer the agency’s progress technique.

The technique was carried out to “win and ship new contracts, with new purchasers in new areas”, the agency said in its accounts, including that the turnover enhance got here regardless of the “ongoing difficult financial situations, with excessive inflation, unavailability of supplies and absence of labour”.

The agency stated the pre-tax loss adopted a call to inject greater than £3m into the enterprise. The contractor stated the “large-scale funding” was “deployed in new folks and techniques, new know-how and new regional places of work”. Greater than half went into know-how and digital development, in keeping with the full-year accounts filed with Corporations Home on 8 April.

GMI is debt free, which allowed it to extend its money income from £22.3m to £33.7m. The contractor focuses on new-build, refurb and fit-out initiatives in sectors together with industrial, logistics, business and retail.

Demand for warehouses soared over the course of the coronavirus pandemic, primarily as a result of elevated curiosity in on-line procuring.

The agency stated additional funding may even be sure that the group can address new laws surrounding constructing security and the golden thread.

The bounce in turnover might push GMI up the CN100 by as many as 50 locations after it snuck in at 100th place final yr.

In 2023 the agency stated it expects “continued sustainable progress” in income and revenue, and it had already secured greater than £325m-worth of labor for the yr. Greater than 70 per cent of the work forecasted is with repeat purchasers, which GMI stated had been “core” to the group’s progress technique. The agency added that it was additionally “gaining new purchasers from established and respected backgrounds”.