Van Elle reports record revenues
Van Elle, the ground engineering contractor, has reported record revenues and improved profitability in its results for the year ended 30 April 2023.
Revenue grew to £148.7m from £124.9m in the prior year, while pre-tax profits hit £5.4m, increasing from £3.6m.
The company noted that the strong trading momentum has continued into its new financial year, with all divisions operating at high activity levels.
Mark Cutler, Chief Executive, said: “I am delighted to report a strong set of results, building on last year’s excellent progress as we emerged from the pandemic.
“The breadth of the group’s expertise, strength of balance sheet and depth of resource allows us to offer the best value to our customers, with whom we are forging closer long-term partnerships.
“The actions taken over the last three years are starting to deliver sustainable results that put us firmly on-track to deliver our medium-term financial objectives.
“I want to extend my sincere thanks to our employees, suppliers and customers for their hard work and support over the last year.”
Revenue grows while pre-tax profits dip at Breedon
Breedon Group, the construction materials group, has reported a “strong” first half in its unaudited interim results for the six months ended 30 June 2023.
Revenue at the company grew to £742.7m from £671.1m in the first half of 2022, however pre-tax profits dipped to £56.5m from £59.5m.
Breedon noted it expects to be eligible for inclusion in the FTSE 250 and FTSE-All share indices at the next index review in September 2023.
Rob Wood, Chief Executive Officer, said: “In the first half our vertically-integrated and local operating model has again come to the fore, leveraging our long-term customer relationships and deep market knowledge. Our first class team has operated with great agility to deliver a strong start to 2023 for which I thank them sincerely and we are well-positioned for the second half of the year.
“The long-term structural dynamics driving infrastructure spending and housebuilding in GB and Ireland have not changed. To ensure we can efficiently and sustainably meet long-term demand for our essential construction materials, we have re-doubled our focus on those factors under our control; keeping our people safe and well while minimising the cost of production and maximising the value of the extensive portfolio of assets we own and acquire.
“By emphasising the operational factors we can influence, we will ensure we remain competitive and continue to deliver outstanding results. By challenging our procedures and practices, we can be sure we will be in the strongest possible position when our end-markets return to growth.”
Vehicle retailer cuts headcount by 10%
Motorpoint Group, the independent omnichannel used vehicle retailer, has reduced its headcount by 10% as part of “streamlining [its] organisational structure.”
In a trading update the Derby company said the move will result in annualised savings of £3m.
Meanwhile the group’s performance has improved throughout the first quarter of its new financial year, which is expected to continue in Q2.
In a statement to London Stock Exchange, Motorpoint said: “The impacts of high inflation, rising interest rates, and consumer uncertainty continue to affect demand for used cars.
“However, like others in the industry, we are encouraged by the growing number of vehicle supply options which, coupled with our increased use of data to determine optimum selling prices, has resulted in an improvement in retail margin. This will, in part, be tempered by lower finance commission as consumer uptake for finance reduces due to increased APR rates.
“The group has also focused on the costs of the business to ensure they are aligned with current market activity and, utilising the investment in technology to date, we are able to maintain a lower headcount as we conserve cash and return to profitability, whilst ensuring we are ready to invest for growth as more favourable market conditions return.
“The group continues to be confident it will emerge in a normalised market as a leaner and more valuable business ready to seize a significant opportunity.”
Revenue rises at Mortgage Advice Bureau
Revenue is on the up at Derby-based Mortgage Advice Bureau (MAB), despite a tough environment of interest rate rises, reduced affordability, and cost of living increases.
According to a trading update for the six months ended 30 June 2023, group revenue was up 21% to £116m, growing from £96.5m in the same period of 2022, with organic growth of 1% despite the market seeing a 40% drop in new mortgage approvals following the mini-budget in September 2022.
Peter Brodnicki, CEO of MAB, said: “We had hoped to be in a period of interest rate stability as we entered Q3, followed by a resumption in organic adviser growth in Q4. Instead, we find ourselves in an environment of continuing interest rate rises, reduced affordability, and cost of living increases, all of which are naturally impacting consumer confidence.
“Despite strong underlying demand for property, some buying decisions are understandably being delayed by our customers until we have a more stable economic and interest rate environment.
“Despite the additional market pressure, I am delighted with how MAB is performing and how our market share continues to grow. Re-mortgages and increasing numbers of product transfers currently represent around 60% of our written transaction volumes.
“This will deliver MAB a greater number of re-financing opportunities in the medium term, with the group’s advisers performing particularly strongly in this area.
“Despite the signs of a market recovery being further off than we expected three months ago, business efficiency continues to increase, adviser productivity has been maintained, and all strategic initiatives continue to progress well. The group is well positioned to deliver further growth as the market recovers.”
Rolls-Royce upgrades profit expectations for 2023 following strong first half
A strong first half of the year has seen Rolls-Royce upgrade its profit expectations for 2023.
In a new trading update the Derby company highlighted “significantly improved first half results” with higher underlying operating profit of £660m-£680m, reflecting “continued end-market growth and [Rolls-Royce’s] focus on commercial optimisation and cost efficiencies across the group.”
Looking ahead, the company has raised its full year guidance, expecting underlying operating profit of £1.2bn-£1.4bn in 2023.
Rolls Royce says its multi-year transformation programme has delivered strong initial results, while an increased focus on costs and productivity has helped to offset the impact of inflation and mitigate supply chain pressures.
Tufan Erginbilgic, CEO, said: “Our multi-year transformation programme has started well with progress already evident in our strong initial results and increased full year guidance for 2023. There is much more to do to deliver better performance and to transform Rolls-Royce into a high performing, competitive, resilient, and growing business.
“Despite a challenging external environment, notably supply chain constraints, we are starting to see the early impact of our transformation in all our divisions. Better profit and cash generation reflects greater productivity, efficiency and improved commercial outcomes.”
Lincolnshire’s JDM Food Group merges with US firm
Lincolnshire-based JDM Food Group (JDM) and US-based Henry Broch Foods (HBF) are set to merge, creating a new parent company, Jardins and Broch.
JDM, headquartered in Bicker, is an innovator in value-added vegetables, sauces, dips and purees to the retail, manufacturing, recipe box and foodservice markets. HBF, with headquarters in Waukegan, Illinois, is a prominent spice, dry-blending and co-packing company, specializing in tailored formulations and seasonings.
Jardins and Broch brings together two market leading ingredients companies and will create a team of international flavour experts across both wet and dry products. The newly formed partnership is an industry leading player with significant production capacity, complementary R&D capabilities and worldwide supply chain networks.
The two companies will continue to operate independently in their home markets and will now be backed by the expert knowledge and skills from the other party to grow a global presence. Aisling Kemp will remain CEO of JDM and Greg Antonetti will continue to lead as CEO of HBF, with both taking an active role in the integration, growth, and future success of the combined group.
Aisling Kemp, CEO of JDM, said: “The combined expertise and knowledge within the two companies creates a flavour powerhouse with global ambitions. Working with the team at HBF who share our strong ethics, values and focus on sustainability is incredibly exciting.
“Trends in this market are ever changing and we are now better able to develop solutions with our culinary teams that deliver on flavour, health, and functionality to ensure we evolve alongside consumer demand.
“Working with Sunridge the last 2 years has been transformational. Their investment has allowed us to accelerate our product capabilities and channel growth. We believe the partnership with HBF will cement that work and create long term sustainable growth as a true ingredients innovator.”
Greg Antonetti, CEO of HBF, said: “This partnership will be a win for our customers, suppliers, team members and other partners. Our aim has always been to build a leading value-added ingredients business and alongside our long serving and dedicated team members, we have worked tirelessly towards this goal.
“We are thrilled to bring JDM’s capabilities, especially in wet ingredients to our customers in North America. The JDM team brings unparalleled expertise, strong production and innovation capabilities, and the ability to serve a wide range of customers across the UK and beyond.”
Jardins and Broch is backed by London-based Sunridge Partners (Sunridge), a private investment group committed to creating leaders in food, beverage, and agribusiness.
Philipp Saumweber, managing partner of Sunridge, said: “Since partnering with JDM in 2021, we have invested considerably in building a word-class ingredients team, expanding our operations, and improving capabilities.
“We are very much looking forward to working with like-minded friends at HBF and jointly executing on group investment and growth plans to build a leading international ingredients and flavour formulation company.”
How can businesses ensure they are tax compliant in 2023?
Knowing your tax requirements in a volatile landscape can be tricky.
With the government’s Making Tax Digital (MTD) initiative delayed until 2026, small and large businesses might still be following outdated tax reporting processes. But despite the challenges of an increasingly digitised corporate sphere, adapting to change will streamline the introduction of innovative accounting technologies.
Whether you’re starting a new business this year or scaling operations up to a global level, implementing an effective and modern tax system is critical. Along with ensuring transparency and compliance, your records will be easier to trace, identify, and keep.
Tax compliance in 2023: The necessary tools, tips, and methods
- Ensure accurate recordkeeping
- Keep your records separate and updated
- Streamline your tax reporting
Senior architect joins Planning & Design Practice
Planning & Design Practice has further expanded its architectural team with the addition of senior architect David Symons.
David is an RIBA Chartered Architect who studied architecture at the University of Nottingham, and with experience working in practice in both the UK and Canada.
Prior to Planning & Design David was project architect as part of a practice of 60 and responsible for constructions budgets upwards of £20m.
David has experience leading multi-disciplinary teams and working with diverse clients including local authorities, property developers, and top-ranking higher education institutions on projects ranging from town centre regeneration utilising government future high street funding, commercial office fit outs and university projects throughout the West Midlands and nationally.
David worked for a time in Vancouver, Canada for a large practice producing detailed designs and feasibility studies for large-scale mixed-use masterplans, residential and office high-rises.
He also has strong local knowledge having previously worked in the residential and domestic architecture sector in the East Midlands for five years, gaining an understanding of the physical and planning context of the area and developing a keen ability to translate a client’s design ambitions into reality.
On joining the practice, David Symons, senior architect at Planning & Design, said: “Having experience working on projects from the smallest to largest scale, it is great to be joining the Planning & Design team to assist with a strong existing portfolio of varied projects and during a period of growth in domestic enquiries and larger developer schemes.
“Having assisted with implementing transformative projects in other areas of the country, it is fantastic to be joining the team with such strong local connections during a time of great growth and change for Derby in particular.
“I am excited to have the remit to apply creativity and innovation to all stages of the Planning and Design process with a team that are skilled and equipped to delivering fantastic projects.”
Michael Bamford, director at Planning & Design, said: “We are excited to welcome David to the architectural team as senior architect. David is an enthusiastic architect with a strong portfolio of large and small-scale projects that demonstrates his understanding and ability to work towards delivering the development that clients want.
“David’s early career working in Canada and the UK system has given him a broader understanding of the architectural process and how this relates to securing planning permission and delivering projects as well as a good understanding of the complexities of designing within a historic environment, something which is vital in the work we do at Planning & Design.
“David will be an integral part of the growth of our architectural team over the next twelve months and we look forward to his role in supporting the team in achieving projects we can be proud of.”
Will you take home the title of Overall Winner and a £20,000 marketing prize at the East Midlands Bricks Awards 2023?
With entries flooding in for Business Link’s East Midlands Bricks Awards 2023, there’s also a grand prize worth £20,000 up for grabs at the celebration of the region’s property and construction industry – going to the event’s Overall Winner.
While this award cannot be entered, the Overall Winner will be selected from those nominated for the occasion’s 10 other categories and will receive a year of marketing/publicity worth £20,000.
Speaking with Business Link, James Pinchbeck, partner at Streets Chartered Accountants, the sponsor of Overall Winner, said: “The Bricks has earned an enviable reputation as a must enter awards for those involved in the construction and property sector from across the East Midlands. As such we are delighted to be sponsoring the ‘Overall Winner’ category for the sixth year in a row and are really looking forward to attending this year’s awards evening in September.
“Streets Chartered Accountants, as specialists in property and construction, are looking to build on our reputation for looking after clients in the sector. Our continued support and engagement with the East Midlands Bricks Awards certainly is a great way to promote our work, support the sector and for us to connect with developers, contractors, agents and other professionals who across the region are engaged in a plethora of exciting, imaginative and innovative projects.”
A highlight in the business calendar, a glittering awards ceremony will reveal winners on Thursday 28 September, at the Trent Bridge Cricket Ground – an evening that will also provide plenty of opportunities to forge new contacts with property and construction professionals from across the region.
Nominations for the event are open, and now is the perfect time to make your submissions, ahead of the deadline (Thursday 31 August).
To nominate your (or another) business/development for the East Midlands Bricks Awards 2023, please click on a category link below or visit this page:
To be held at:
- Most active estate agent
- Commercial development of the year
- Responsible business of the year
- Residential development of the year
- Developer of the year
- Deal of the year
- Architects of the year
- Excellence in design
- Sustainable development of the year
- Contractor of the year
- Overall winner (this award cannot be entered, the winner will be selected from those nominated)
Find out who last year’s winners were here.
Book your tickets now
Tickets can now be booked for the East Midlands Bricks Awards 2023 – click here to secure yours. The special awards evening and networking event will be held on Thursday 28 September 2023 in the Derek Randall Suite at the Trent Bridge Cricket Ground from 4:30pm – 7:30pm. Connect with local decision makers over canapés and complimentary drinks while applauding the outstanding companies and projects in our region, and hear from Mike Denby, Director of Inward Investment and Place Marketing at Leicester City Council, our keynote speaker. Dress code is standard business attire. Thanks to our sponsors:
To be held at:
Midlands businesses gear up for Investment Zones, as first unveiled
Businesses across the Midlands are gearing up for the introduction of two proposed Investment Zones, after the Government unveiled the first in South Yorkshire.
According to BDO LLP’s bi-monthly Economic Engine survey of 500 mid-market businesses, 72% of regional companies have, or will consider moving part of their business to one of two proposed Investment Zones. These have been earmarked for the East Midlands Mayoral Combined County Authority and West Midlands Mayoral Combined Authority.
The survey by the accountancy and business advisory firm comes after the Chancellor officially named the first UK Advanced Manufacturing Investment Zone. As part of the Government’s ‘Levelling Up’ agenda to create opportunities across the country, communities in Sheffield, Rotherham, Doncaster and Barnsley will benefit from an estimated 8,000 new jobs and £1.2 billion of private funding by 2030. They will also receive further Government funding through the Investment Zone worth up to £80 million.
Twelve Investment Zones will be established across the UK based around a university and clusters of high growth industries like advanced manufacturing, life sciences or green industries. At the Spring Budget, Jeremy Hunt announced the first eight eligible locations, including in East and West Midlands.
Kyla Bellingall, regional managing partner at BDO in the Midlands, said: “Much was made in the Spring Budget about the proposed Investment Zones and the job creation and funding that would come from their introduction in a bid to drive growth.
“It’s clear that the package of funding to support infrastructure and skills, with the added draw of a range of tax reliefs, is giving regional businesses real food for thought about where they base all, or part of their operations, moving forward.
“The unveiling of South Yorkshire as the first Investment Zone marks a significant step forward in the Government’s Levelling Up agenda. However, much more still needs to be done to provide regional businesses with the strong foundations they need to thrive and grow.”
According to BDO’s Economic Engine survey, Midlands businesses believe the Government should do more to reduce taxes, particularly business taxes. Nearly a quarter of regional businesses (22%) said the priority should be around providing more generous tax reliefs for R&D, with nearly one in five (17%) calling for further support to reduce business rates.
Claire Hudson, tax partner in the Midlands, added: “Reducing business taxes, including the headline rate of corporation tax, is right up there on the list of priorities for companies.
“With the cost of doing business at an all-time high, thanks to record inflation and soaring interest rates amongst other pressures, business leaders are looking for some much needed respite.
“Midlands businesses have consistently told us through our Economic Engine survey that the Government needs to do more to support the regional economy and deliver on its ‘Levelling Up’ promise – and tax is currently taking centre stage.”
