North Midland Construction has suffered job losses during a review of the organisation in a bid to cut costs.
In a trading update today the Nottinghamshire-based firm said its revenue and profits are at a lower level than last year as ‘the economic climate remains very difficult, particularly for the construction sector’.
The statement said: “The board is still confident that the full year forecast can be attained.
“However, to achieve this forecast the group has had to reduce costs and as a result a thorough review of the organization has been conducted, which unfortunately has resulted in some redundancies.”
A significant amount of framework contracts secured are still providing North Midland with an adequate workload with 62 per cent of projected revenue already in place.
Contracts for the construction of two new fire stations have been secured within the last month by North Midland Building.
All divisions and subsidiaries are currently trading profitably, although consolidated revenue and profit has been at a lower level than for the comparable period last year.
The group’s banking facilities have recently been renewed, which will provide sufficient working capital for current requirements.