Turnaround is working for Havelock

Published on 12/09/2012 00:00

CUTTING staff and other cost savings have reaped financial benefits for Havelock Europa, as the Dalgety Bay-based shop fitter yesterday revealed it has narrowed its half-year losses.

Sales rose by 17 per cent to £38.5 million in the six months to 30 June, helping the Aim-quoted firm to narrow its losses to £1.2m from £2.8m.

Chief executive Eric Prescott joined in September 2010 to turn around the business after the departure of long-serving predecessor Hew Balfour.

Prescott cut the firm’s headcount from 1,000 to about 750, but he told The Scotsman that the firm’s factory in Kirkcaldy is now busy again.

He said: “We hired about 80 temporary workers at the start of the year and they’re still with us and, looking at how busy we are, they are likely to stay until at least November.”

He said the firm was benefiting after winning work from large chains – including Marks & Spencer and Primark – rather than chasing smaller contracts from standalone shops. And he hailed contracts with Balfour Beatty and Lloyds Banking Group for aiding the turnaround.