North East builders’ merchant JT Dove says it is bucking national trends to see growth in demand, resulting in rising turnover.
Directors at the Newcastle business – which has bases across Tyneside, Wearside, Northumberland, Cumbria, County Durham and Teesside – have hailed a positive trading year as well as optimism for the future, after seeing turnover rise 2.3% to £96.6m in latest accounts covering 2024.
The firm said that, contrary to data trends suggesting a drop in demand, the company saw increased sales volumes, although the reduction in overall market demand resulted in a lower gross margin, which it expects to reverse “with cyclical movements in the market”. Operating profit also dropped 30.4% to £2.8m and at the year end, net assets were £28.8m, up from £27.4m.
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The profit for the year, after taxation, amounted to £1.9m, down from £2.8m. A report signed off by the board also highlighted investment and a move to more electric and hybrid vehicles within its fleet.
The report said: “2024 was a positive trading year for the company, in the context of an overall reduction in demand in the market. Whilst industry benchmarking data suggests that the majority of builders’ merchants experienced a reduction in demand, the company saw increased sales volumes, which resulted in an increase in revenue.
“The company continued to invest robustly in its premises, infrastructure and a staff base focussed on delivery of consistent high-quality service to customers.
“The majority of contracts for the supply of the company’s electricity are now 100% from renewable sources. The company has begun a programme of replacing diesel forklift trucks due for renewal with an electric alternative in its branches and will progress that further over the coming year.
“At the end of 2024, 22% of forklifts were electric, (2023: 18%). The company also began introducing hybrid fuel vehicles in 2024, and this will continue with company cars purchased in 2025. An energy saving initiative is due to be rolled out in 2025, with efforts to reduce electricity consumption across branches where possible.”
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Following publication of the accounts, managing director Michael Young said: “After a first quarter of 2025 which largely mirrored 2024 performance, we are seeing a clear increase in demand in the second quarter. A gradual increase in trading activity is anticipated across the industry as a whole in the second half of 2025 and the directors remain optimistic for the future. It remains the company’s strategy to pursue sustainable growth opportunities.”
Meanwhile, the company is also celebrating recognition as one of ten top-performing private businesses in the 海角视频’s inaugural 2025 Best Managed Companies awards. The awards, an initiative of Deloitte Private, recognise top private companies for their organisational success and contributions to their industry and the economy.
Mr Young added: “We are thrilled to be recognised as one of the 海角视频’s top managed private companies and are proud to have our strategic vision, innovation efforts, and organisational capabilities acknowledged by Deloitte Private and the Best Managed Companies judges in this way.”
Claire Evans, Deloitte Private partner and 海角视频 Best Managed Companies leader, said: “The Best Managed Companies programme celebrates the passion, resilience, and focus on sustainable growth that are hallmarks of the 海角视频’s leading private businesses. These businesses are purpose-driven, disciplined, and industry-leading. They are confidently navigating the future and setting an inspiring standard for success among private businesses in the 海角视频.”