A Manchester-headquartered construction giant – which recently secured investment from a South African firm – is expecting turnover to pass the £100m mark this year after enjoying a strong period, having been buoyed by successes across the city.
Russells provides design, installation and project management services across a number of sectors. It was founded in 1997 by Andrew and Gareth Russell and has grown from a small regional contractor into one of the North West’s largest and most successful businesses of its kind.
For the nine months to 30 June 2018, the company reported turnover of £60.6m compared to £52.1m for the year to £30 September 2017.
Pre-tax profits were also up from £6.14m to £7.5m.
The accounting period was changed to allow Russells to fall in line with WBHO UK Ltd, a wholly owned subsidiary of South Africa-headquartered Wilson Bayly Homes-Ovcon, which bought a 60 per cent interest in Russells Ltd for £32.8m in July. Had the accounting period change not been made, the 12-month figures would have included turnover of £85.7m and a pre-tax profit of £9.9m.
The company noted that as such, the results demonstrate a “clear upward trajectory”.
In particular, the hotel and office sectors remained strong areas of growth, with the city centre accounting for 11 major projects. These include a huge Store Street scheme, the £80m Oxygen residential scheme, the £37m Axis Tower and the £55m dual hotel at 3 St Peter’s Square.
Russells’ involvement with the NOMA regeneration has also continued, with the completion of the £35m refurbishment of Amazon’s new Hanover office.
Andrew Russell told Insider: “The coming year will see Russells break through the £100m mark, cementing our position as one of the region’s most active main contractors and validating a growth strategy which has focused primarily on quality of delivery.
“We have the capability of a tier one contractor and have been successfully winning major contracts throughout the North West and beyond. We’re confident this is down to a proven delivery capability and the security of our financial position.
“Thanks to sustained and stable growth over recent years, and the recent investment of global construction business WBHO, we have a secure forward order book and are in a financially strong position to deliver major projects at a competitive price.”
Russell added that the company has “never been busier”.
“The opportunities available make for exciting times for the business, which Gareth and I continue to drive forward, building on the foundations already laid to achieve sustainable future growth.”