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Bouygues UK losses widen to £78m

5 Oct 17 Bouygues (UK) has filed accounts for 2016 showing a pre-tax loss for the year of £78.5m.

Fabienne Viala
Fabienne Viala

Turnover for the year was 拢555.8m, up from 拢349.6m in 2015, reflecting the consolidation of JB Leadbitter and Denne Construction into Bouygues (UK) in May 2016.

In 2015 Bouygues (UK) made a loss of 拢19.4m before tax.

The company attributed the 2016 loss to 鈥榓 limited number of projects鈥.

Chairman Fabienne Viala, who took over half way through the year, wrote in her strategic report: 鈥淭he company, in common with a number of other UK contractors, has been impacted in recent years by challenging market conditions including inflation in supply chain costs. However, despite these impacts, many projects have maintained the expected level of margin and the company has been able to meet its clients鈥 expectations by maintaining a high level of quality and service.鈥

The Bouygues group in France has stepped in and injected a further 拢79m of new equity into its UK subsidiary to ensure its financial covenant is maintained.

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MPU
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