Motorway maintenance company Eurovia has seen a 26% increase in profits thanks to critical works that have been carried out during the pandemic.
The company’s recently released accounts show pre-tax profits reached £26.9 million in the year ending December 31, 2021, up £5.6m from £21.3m the previous year.
Eurovia also increased revenue by 7.2% to £839m, while revenue excluding joint ventures was £632m, an increase of 6.8%.
Cash at bank and in hand stood at £128.7m at the end of the year, with no outstanding financial borrowings.
The company said growth was driven by strong performance from its services team, which remained operational during the pandemic to keep highways open and maintain safety.
Its contracting and production teams also continued to deliver key infrastructure improvement programs and vital highway maintenance materials during this time.
In 2021, Eurovia won new contracts with Surrey County Council. It also won work on the National Highways program delivery framework, ending the year with an order book of £1.1billion.
Over the past decade, not only has revenue grown an average of 3% per year for the company, but also a shift in profitability from steadily low margins to more sustainable levels, he said.
Managing Director Scott Wardrop said: “We have achieved this performance in the context of UK austerity thanks to our strong management culture, our continued investment in self-delivery and our discipline to focus on our core areas of business. excellence in the motorway sector.”
The coming years will see an increased need for climate change resilience services to prepare the UK’s road infrastructure for extreme weather conditions, he predicted: our road networks to minimize the impact of these changes.