For the year ended 30 June 2014, ISG had revenues of 拢1,483m, up from 拢1,245m the year before.
Excluding the closure of a construction business in Kent, underlying profit before tax was 拢11.5m (2013: 拢9.1m).
The cash cow remains the core fit-out business. Its UK Fit Out & Engineering Services division made a 拢9.9m operating profit on 拢520m revenues and the UK Retail division made 拢6.0m on 拢283m revenue.
The UK construction business, by contrast, has been struggling. It made an operating loss of 拢1.2m during the year on revenues of 拢463m (2013: 拢499m). However, this business has been restructured into four regions and operations in Tonbridge have been closed. ()听
During the year, a post-tax loss of 拢2.8m (2013: 拢0.4m) was incurred from the Tonbridge closure.聽 This resulted in a profit for the year of 拢2.4m (2013: 拢2.4m).
CEO David Lawther said: 鈥淭he UK Construction market is now showing signs of improvement, both in the pipeline of opportunities and contract terms.聽 We have recruited new people into the leadership team and in our regions to grow and improve our skillsets with a focus on improvement in key areas including procurement processes, bid and risk management and winning-work strategy.鈥�
He added: 鈥淲e anticipate seeing an upturn in margins and a return to profit from 2015.鈥�
Of the overall group results, which include improved turnover and profits from overseas operations, he said: "Our diversification strategy, combined with the recovery of our traditional UK markets, positions the company for continued growth.聽 Overseas, our businesses are benefiting from a growing reputation. We anticipate further improvement in our results in the coming year."
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