Investment and diversification key to Space Solutions' return to growth

Managing director Steve Judge said investment in the business had increased and the company had diversified its operations and developed new market opportunities.

He said this had impacted on profits but added: "We now have a solid and robust business model that will help achieve sustained growth.

"Many businesses and organisations in Scotland are still facing problems because of rising overheads, and many are jeopardising future growth because they don't feel a move or expansion is a viable option during the current economic climate."

Revenue for the year to the end of June was 16.1 million against 16.4m in the previous 12 months. Profit before tax and depreciation was 1.03m against 1.35m last time, mainly due to the tougher market conditions and the company's investment in business development and restructuring initiatives. Against the wider difficulties experienced by the property market the firm was pleased with its performance. "The last 12 months have been extremely challenging for many firms in the sector," said Judge, "so these strong figures are a testament to the hard work of our staff and our ability to adapt our business.

"It is also important to recognise the role that proactive management has played in sustaining the business through a difficult economic period."

Space Solutions, which operates from five locations in Scotland, is predicting that revenue and margin levels will increase in the next 12 months.

"However, we have also been diversifying our skills so that they can help organisations in the charity and third sectors make better use of their workspaces," said Judge. "We it becoming a key focus for Space Solutions."

The firm has recently completed a re-structuring of its Edinburgh and Glasgow divisions to develop new business opportunities and secure contracts throughout the Central Belt.