Bancon Group builds up profits for third year running

Bancon Group has unveiled a 400 per cent rise in pre-tax earnings, building on its return to profit last year.

Bancon Homes chief executive John Irvine (left) and finance director Andrew Tweedie. Picture: Ross Johnston/Newsline Media

The Aberdeenshire housebuilder and construction group reported pre-tax profits of £780,000 for the year ending 31 March, up from £151,000 in 2018. It marks the third consecutive year of rising profits.

Turnover increased by 34 per cent to £92 million, with strong growth in the group’s homes business, which almost doubled unit sales and opened three new developments. Bancon said these will provide “a balanced portfolio” of current and future developments.

Its timber manufacturing arm Deeside Timberframe capitalised on strong market demand to deliver a record turnover of £30m.

Meanwhile the group said trading performance at its construction division “continued to improve” following a strategy by new management to pursue more profitable work, with a focus on margins and cost control.

Chief executive John Irvine said: “Successful delivery of our long-term strategic plan has enabled us to achieve these positive results.

“Our homes business has performed very well in what continues to be a challenging market in the North-east.

“The outlook is equally positive for our timberframe business which, as well as benefiting from increased demand, boasts high levels of repeat business from existing customers. Finally, it’s pleasing to see that our focus on going after profitable contracts has seen our construction business achieving controlled growth and higher margins.”