John McAslan + Partners saw a large drop in profits during 2015, a year which has saw a major restructuring of the company
Profits after tax fell to £86,000 in 2015 from the £252,000 chalked up in 2014, according to the company’s accounts for the year to 31 October 2015.
During the accounting period the practice saw the departure of three longstanding directors, including Tony Skipper, and the closure of its Manchester office in a major management shake-up (see AJ 02.06.15).
The results, which were posted at Companies House, also showed that turnover fell from £10.6 million to £8.6 million over the year.
Performance in the UK improved slightly, with an increase in turnover from £5.8 million in 2014 to £6.6 million last time.
However, overseas turnover slumped from £4.8 million to £2 million over the period. Operating profit across the practice fell from £313,000 to £250,000.
Introducing the accounts, company secretary Natasha Manzaroli said the reorganisation of the business last year would provide a stronger foundation for the future.
She said: ‘We can already see improvements as a result of the changes implemented.
‘We have a strong pipeline of UK and international work for 2016 and beyond, having already secured our target income for 2016/17, and we are poised to build on the creative and financial strength of the practice, which has achieved in the order of £140 million in turnover and in excess of £9 million of net profits since the practice was founded in 1996.’
She said that the changes meant that the firm now has a greater transparency on project costs and profitability, which will enable it to improve profit margins.
Manzaroli also said that the company is ‘well placed to capitalise on an improving UK economy, despite the uncertainties following Brexit’. We have an increasing, enviable portfolio of prestigious clients and a plethora of award-winning projects.’