BW: Workplace Experts recently released financial results for the year ended 31 December 2017.
The Company posted annual turnover of £150.9m, an increase of 50% from the previous year, and operating profit for the financial year of £4.1m, up 110% (full profit for the financial year: £7.99m).
“We’re thrilled to report BW’s best year ever, our second year of double-digit turnover growth,” said Steve Elliott, BW’s CEO.
“Our strong business performance drove turnover growth in both refurbishment and fit out projects, net assets of £13.8m, and cash at bank of £10.8m,” said Andrew Bradley, BW’s Financial Director. “We completed a successful management buy-out of the share capital from the shareholding of the two founders. We started our 2018 financial year with our strongest order book and anticipate turnover of between £190m and £200m with continued improvement in gross margin.”
Fit-out specialist dismisses Brexit slowdown as turnover jumps 50%
London-based fit-out firm BW has said Brexit is having no impact on its business at all, as it reported annual turnover has hit £150.9m, a hike of 50%.
BW: Workplace Experts, based in the City of London, has said it is on track to hit its target of £250m turnover by 2020. Its operating profit leaped 110% to £4.1m for the year ending 31 December 2017.
Anthony Brown, the firm’s sales and marketing director, said BW’s growth is due to tech companies wanting top end offices as a recruiting sergeant for skilled workers, as well as a recent uptick in work outside London, in particular in the Cambridge to Oxford corridor and in Southampton.
He said: “The main driver for growth in fit-out is recruitment – we’ve seen huge growth in London from tech companies over the last few years.
“Everyone is fighting hard for a small pool of talent, and a lack of grade A office space – vacancy rates are the lowest they’ve been – means that firms have to invest to make their workplace a differentiator.
“The growth outside London is expected as London expands and commuting is cumbersome – we might see a position where 30-40% of our work is in the Home Counties.”
Brown said he has been surprised that Brexit was having no impact on business.
He said: “If you’d asked me a year ago, I thought we would see things tailing off – this has been a phenomenal year. We’re even seeing growth in the banking sector.
“Brexit is so undetermined at the moment that people are carrying on with their plans.”
He added: “We only need about £3m this year to hit the £200m mark. We’ve grown our workforce by over 100 in the year [to just over 250].”
On future plans, Brown said there is an “appetite for a third firm in the London fit-out market” behind the two big players in the sector, Morgan Sindall-owned Overbury and ISG.
Jamie Harris, Building.co.uk