Friday 20 April 2018

Construction/property group is back in profit

Stock picture
Stock picture

Gordon Deegan

The group operated by Limerick timber tycoons, the McMahon family returned to pre-tax profit last year after an increase in revenues.

Documents recently filed with the Companies Office by Derevoya Holdings Ltd and subsidiaries show the group that operates McMahons' Builder Providers recorded a pre-tax profit of €1.4m last year after sustaining a pre-tax loss of €1.7m in 2013.

The return to pre-tax profit follows the group increasing revenues by 5.6pc from €52.72m to €55.67m in the 12 months to the end of December last.

According to the directors' report, "all the group's activities are associated with the construction sector where there has been a stabilising of activity levels during 2013 and modest growth experienced returned in 2014".

The directors state "notwithstanding this, there has been continued tight control of the cost base during the year resulting in the improvements with the underlying operating profits. The group continues to apply a strict control on operating costs and an improving operating performance is forecast for 2015".

Numbers employed by the group last year increased from 183 to 185.

The group last year recorded a 92.5pc increase in operating profits, going from €1.15m to €2.23m.

However, net interest payments of €885,998 contributed to a pre-tax profit of €1.1m while an exceptional cost of €2m in 2013 not repeated last year contributed to the loss in 2013.

The principal activities of the firm are general builder providers, property investment and development and manufacture of steel reinforcement products.

Irish Independent

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