Spie UK has posted a loss of nearly £28m for 2017 – the company’s second heavy loss in two years.
The services firm posted a pre-tax loss of £27.8m for the year to 31 December 2017, compared with a loss of £24.7m for the previous 12 months.
Spie wrote off £14m owed to it by a subsidiary sold as part of a deal with Keltbray, accounting for more than half the total loss.
Keltbray bought Spie’s distribution and transmission business in June, taking on 300 Spie staff in the process.
Spie’s 2017 loss also comprised nearly £4m in non-recurring costs, including £2.9m in contract losses and £676,000 related to restructuring the business.
Revenue at the firm dropped from just under £263m in 2016 to £241.8m in 2017.
Spie cited challenging markets in the facilities services sector due to rising client demand for “total facilities management” services instead of Spie’s traditional hard services.
This month it hired former Rydon Group finance director Tony Wilkinson as its new chief financial officer.
It was the latest in a series of management changes at the company. In May 2017, Spie UK chief executive James Thoden van Velzen was replaced by Robert Goodhew after five years at the firm.
Managing directors Steven Nanda and Mike Snee then left the business in October last year.
In July, Keltbray launched its distribution and transmission business after completing a deal to buy Spie’s contracts in the sector.
The deal saw Keltbray appoint Mr Snee as its distribution and transmission managing director.
Construction News has contacted Spie UK for comment.