The Mick George Group Rise by 23 in The Top 100 Construction Listing to position number 68 in the rankings.
Top 100 Construction Listing
While construction companies continue to digest the full implications of the Covid-19 pandemic, the latest study of the Top 100 UK construction firms as produced by the Construction Index reveals the progress being achieved by the Mick George Group among the sectors elite, rising 23 places to position number 68 in the rankings.
In a market where finances were weakening even before the Coronavirus took full effect, the local construction specialist has increased revenue by 61% year-on-year.
Turnover for the Top 100 may have topped £75bn, however pre-tax profits fell by 38% from last year, representing the decline that the industry is experiencing. Perhaps of more significance, is that it highlights the spectacular results from the Mick George Group given the circumstances – especially when you factor in that many contractors usually listed within these league standings have dropped out due to insolvency.
According to forecasts by Construction Products Association (CPA) construction output is predicted to fall by 20.6% this year but there are some reasons for positivity, as the sector is expecting to rebound in 2021 with output increasing by 18%, albeit from a lower than normal base and still some 6.4% below pre Covid-19 levels.
The anticipated rise is likely to result from the continuation of major infrastructure projects opposed to new developments commencing and offers reasoning why the Mick George Group has brought about such impressive figures.
Throughout lockdown, the business sustained high-levels of operations particularly in its contracting division. During this period, the Mick George Group were significant contributors in delivering the A14 Highways project 6-months early, as well as completing works on the M1
Smart Motorway scheme (J13-J15), Europe’s largest distribution park at Magna Park, Lutterworth and the Gedling Access Road project in Nottingham.
The report also identifies that specialist contractors were most negatively impacted by the pandemic with over half of the Top 20 recording declining margins which suggests that the firms strategically diverse service offering also seems to have played in to their hands.
So, what’s the future of the Construction industry? For the time being it’s a very competitive marketspace with rival contracting pitching bids up to 20% below the competition simply to keep their operations functioning.
Inevitably this can’t last forever and those larger contractors such as the Mick George Group who are able to offer a reliable supply-chain, are likely to profit over those smaller players carrying heavy debts or meagre cash balances.