Northumberland major employer Thompsons of Prudhoe says it is planning a number of investments following a successful year of trading.
The group – best known for its demolition and dismantling activities but also specialists in earthmoving, quarrying, waste management, recycling and haulage – has posted big increases in turnover and profits in latest accounts for the year ending March 31 2022. The group, which was launched in 1948, reported 77% growth in revenue from £39.5m to £69.68m, while operating profit also soared from £1.05m to £7.2m.
The overall profit for the year increased significantly from £664,501 to £5.2m. Chairman John Thompson said: “Due to the large demolition and dismantling projects carried out this year, and given the ongoing impact of Brexit and Covid-19, the directors have reviewed the performance of the business and are content with the result. The balance sheet position is considered adequate for the needs of the company for the foreseeable future.
Read more: Cake Stories to serve up more growth after award and deal wins
"Our board has considered the current resources available and supplemented them with orders for new plant and equipment after the year end. In doing so, we believe that we continue to be in a strong position to compete for future contracts to ensure the ongoing successful progress made by the group can be further built upon. As we find ourselves in the early stages of what is predicted to be a potentially significant recession, we are of course proceeding cautiously.”
A specialist new company within the group – Thompsons Asbestos Services – has also been successful in winning new business. The firm said its offshore decommissioning facilities, a multimillion-pound joint venture with Port of Blyth, also continues to make a substantial financial contribution to the group, as a number of North Sea assets reach the end of their operating life.
Managing director Nick Shilling said: “We have increased the size of our offshore dismantling business and hope to make further investments in Blyth next year. We have recently taken delivery of £5m worth of new mobile plant and are buying two new sand and gravel washing plants for a total of £10m. This investment will bring significant environmental benefits as they allow us to recover secondary product that would otherwise go to landfill.
“Sustainability is an important part of the way we do business. We are in the process of supplementing the biomass boiler at our headquarters in Prudhoe with solar panels, have added six electric vehicle charging points and expect to introduce similar enhancements across our satellite sites.”
Most Read
Thompsons has also acquired two new quarries at Crawcrook and Kirkby Stephen. Last month it won planning permission to extract sand and gravel from a site on the banks of the Tyne at Anick Grange near Hexham, which will eventually create a lake and wildlife sanctuary. Jobs were also created in the year, with employee numbers rising from 313 to 332. Since the year end more people have joined the firm, taking the workforce to 352.
Mr Shilling added: “Prudent management and a loyal, experienced workforce have given us the opportunity to be able to announce a set of results which we are all very proud of. High scrap prices from our local demolition schemes, successful large bulk-earthworks contracts and the strong housebuilding market – resulting in high demand for a wide range of products from our quarries – have all been important factors.”
READ NEXT
- Tyneside software firm Technology Services Group hails improved trading
Energy consultancy EnAppSys expands into German and Hungarian markets
- Quarter Day payments bring unwelcome concerns for North East business owners
- Read more North East business news
- Sunderland innovator Vero Power says the sky’s the limit for solar