.jpg)
Miller Group has posted a 拢72.4m pre-tax loss for the year ending 31 December 2009.
However, it is an improvement on 2008鈥檚 拢170m loss.
The loss includes 拢27.5m of exceptional items, mostly relating to commercial properties in Eastern and Central Europe, where tenants are increasingly seeking rent concessions, the group said.
Miller鈥檚 turnover also fell, by 25% to 拢783m, compared to 拢1bn in the previous year.
Cash flow from operations was healthy at 拢130m, allowing 拢100m of debt to be repaid nine months early.
The Edinburgh-based firm is the UK鈥檚 largest privately owned housebuilder and contractor.
Miller's construction business reported an operating profit of 拢15.5m (2008: 拢13.7m), despite turnover dropping 34% to 拢409m in 鈥渧ery challenging market conditions鈥�.
The firm said 鈥渢his was down to procuring projects on the right commercial terms and driving contracts ahead of programme鈥�. This delivered an operating profit margin of 3.8%.
The construction division's mix of work is 80% private, with the remainder in the public sector. Its average contract size was 拢18m.
Miller鈥檚 house-building business sold just 12 more homes in 2009, totalling 2,068, compared to the previous year.
However, it said activity levels in housing were 鈥渆ncouraging鈥� with forward sales of 1,010 units, 13% ahead of 2009.
The firm said it had worked closely with the Homes and Communities Agency throughout the year and is a 鈥渕ajor participant鈥� in the HCA鈥檚 HomeBuy Direct and Kickstart programmes.
Chief executive Keith Miller said he remained optimistic and that 33 of the group鈥檚 sites are currently progressing through planning, with 1,000 plots set to be acquired in 2010/2011.
He added: 鈥淥ur commercial property portfolio is in good shape, making a positive return over both direct operational and finance costs.
鈥淲e have recommenced activity on our major strategic landholdings in Islington, Birmingham, Warrington and Edinburgh.
鈥淭hough we are aware of current weaknesses in mortgage supply and the drag on demand that further increases in unemployment could bring, we have already secured 50% of our housing targets for the year.
鈥溌芾蛟� is further behind the recovery curve with more challenging market conditions. However we have good visibility of work for 2010, a strong client base and the majority of our order book with the public sector.鈥�
听
Got a story? Email news@theconstructionindex.co.uk
