Broadway Malyan Holdings (BMH) is focusing its growth strategy away from the UK to mitigate the risks associated with Brexit, it has announced
The company, which is the parent of AJ100 practice Broadway Malyan and consultancy Nexus Planning, announced a huge leap in its pre-tax profits during for the year ending 30 April 2017.
But it said that the effect of Brexit on the UK economy was still uncertain and that it would look to hedge its risk by focusing growth overseas.
A statement by director Gary Whittle said: ‘The UK election result in June 2017 has done little to quell this uncertainty, and although the directors believe there is considerable demand-side pressure in our core UK market, our now-mature global studio network will provide a counter to potential domestic risk, and we continue to focus our near-term strategic growth plans in international geographies.’
In its annual accounts, BMH reported a rise in pre-tax profits to £2.4 million from £597,00 in 2015/16.
Turnover was up from £46.1 million to £50.6 million, while gross profit remained broadly level at £17.1 million, largely due to increased payments to sub-consultants.
Income from the Middle East grew in the run-up to Expo 2020 in Dubai, while the firm reported robust turnover in the Far East due to new masterplanning and architecture projects.
The firm also won its first large design commission in the USA during the year: Royal Caribbean Cruises’ new $100 million cruise terminal in Miami.
However, Chinese and South American markets suffered slower market conditions.
The average headcount at the firm was down from 559 the previous year to 494.
The results are the first since the practice’s ownership was transferred to an employee ownership trust in November 2016, with the majority shareholding transferring from existing employee benefit trusts and directors to an ownership trust representing all employees.