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Hochtief profits slide

Results at the UK arm of Hochtief continue to yo-yo with pre-tax profits at the group dropping by a third last year.

The firm has had a rollercoaster number of years begun when the company took a £15 million hit in its 2004 accounts when a project to build a waste incinerator plant in Kent ran into trouble.

Hochtief finally returned to the black in 2006 following two years of successive losses caused by the job at Allington.

But according to the firm’s latest report and accounts filed at Companies House, profits are now in reverse again after dropping from £2.5 million in 2006 to £1.6 million.

Turnover was down eight per cent to just over £43 million and in a statement accompanying the results, the firm said: “Turnover has decreased due to a small reduction in contract income from new and existing contracts.”

It added: “Operations in South Wales have again proved to be very successful in 2007 with continued good opportunities for 2008. The Board continues to focus its attention to increase its market share in South-east England.”

The firm increased the number of its employees by more than half to just over 300. The hike added another £4 million to the wage bill.

The salary of the highest paid director, who is not named, edged up £5,000 to £115,000.