Turnover at Willmott Dixon reached £481 million in the six months ended 30 June 2010, up £6m on the same period last year.
Revenue was £475m at the same stage last year. Pre-tax profits increased 37 per cent to £8.6m in the first six months up from the £6.3m the firm made in the first half of 2009.
The firm also reported an increase in its order book, which ended the period at a record £1.1 billion.
Willmott Dixon chief executive Rick Willmott said: “Given the challenges faced in the construction, housing and property sectors we are satisfied to have delivered half year results ahead of budget. Perhaps more importantly secured order books have held up better than expected in our capital works and support services divisions, and we’ve made good progress in positioning the regeneration division to deliver future growth.”
The firm has been taking steps to position itself into longer term projects ahead of the spending cuts expected in the comprehensive spending review later this month. These projects include schemes such as the Dee Park estate in Reading, where it is on site and creating 862 homes over six years, and Woking Gateway development, where it is in JV with Carisbrooke to take forward the master plan to regenerate Woking town centre.
Despite this, directors are remaining caution on the future. Mr Willmott added: “We remain acutely aware of the impending cuts in public sector capital projects, to be announced in the October spending review, which will inevitably have an impact upon the wider industry.
“Looking at 2011 and 2012, we know that public spending, upon which we still rely for much of our work, will be reduced and that the private sector is unlikely to be able to take up the slack for some time to come. If we are to maintain turnover at current levels, then we shall need to secure an increasing proportion of the declining publicly sector market - focussing in particular on health and social housing - and to secure a substantial foothold in new private sector markets as they come on stream.”
The firm has been boosting its social housing work and now carries out repairs on over 110,000 rented homes throughout the UK.