Utilities-focused contractor Clancy has posted record revenue for the second year running, benefitting from investment in its key markets of water, energy and infrastructure.
Revenue and pre-tax profit jumped in the year ending 31 March 2024, with chief financial officer Nick Blaber calling it the firm’s “best ever performance”.
Revenue rose to £378.5m, up 13.2 per cent from last year’s then-record of £334.5m. Pre-tax profit jumped 54.8 per cent from £13.5m to £20.9m.
Chief executive Matt Cannon credited growing demand for infrastructure investment for his firm’s bumper year, which he said provides a strong pipeline “not only for the next 12 months but well into the second half of the decade”.
The CN100 firm reported a forward order book of £1.5bn, £1bn of which was secured at year end.
Chairman Kevin Clancy highlighted demand for investment in the firm’s key sectors, including “exceptionally high” demand for new grid capacity and customer expectations for quality water infrastructure.
Cash dropped over the year from £42.9m to £34.2m, although net assets grew by £3.5m to £58m. Clancy said its strong cash position meant it did not need to borrow over the year, although it has hire purchase and leasing debts due after one year.
Directors wrote that Clancy’s contracts and customer base provided a “relatively predictable baseline revenue level” and that the firm expected opportunities for new work in the near future from both new and existing clients.
The bulk of Clancy’s work is in the utilities sector, although it also takes on residential development and other civil engineering work. The firm has a number of HS2 contracts, carrying out utility diversion at Euston and overbridge foundations in the North Chilterns.
During the reporting period it was named as one of South West Water’s delivery partners on a £3bn capital programme and a supplier to SSEN’s £1bn grid upgrade partnership.
The contractor won spots on several water companies’ frameworks for the next five-year investment period, which starts next spring.
The Middlesex-headquartered contractor opened three new offices to better serve new projects, in Exeter, Reading and Farnham.
Clancy ranked 57th in Construction News’ CN100 annual table of top UK contractors, published last month.
