ISG’s record performance shows UK contractors can thrive

ISG, one of the UK’s largest privately-owned companies and a top 10 Tier 1 contractor, has announced its best-ever financial performance, just three years after the business was taken into private ownership. 

Published headline figures for 2018 show that turnover at the UK’s largest office fit out and retail sector contractor, has breached £2 billion for the first time in the company’s 30-year history at £2.2 billion, posting £38.5 million profit before tax and a £1.4 billion forward order book.

• £2.2 billion turnover (£1.7 billion 2017)
• £38.5 million underlying profit before tax (£28.2 million 2017)
• £77.7 million net cash position at year end (£63.9 million 2017)
• £105.7 million average net cash balance (£60.2 million 2017)
• £1.4 billion forward order book (£1.3 billion 2017)
• £45 million liquidity funding facility (undrawn) (£30 million 2017)

ISG’s 2018 Annual Report, shows a third consecutive year of record growth and profitability for the company, which now employs around 3,000 people and operates in 24 countries across the globe. 

Sustainable growth has been achieved across ISG’s Fit Out, Construction, Engineering Services and Retail operations, with the company’s international businesses also generating record growth and profitability.  

The company has seen an unprecedented level of growth and demand for its services in Continental Europe – increasing turnover by over 100 percent to circa £400 million. 

ISG has also reported minimal impact from Brexit, with its global customer base continuing to invest strongly in London property assets.

The firm’s office fit out business posted a 54 percent increase in revenue to a record £609 million turnover. 

The overall scale of projects has also increased significantly, with ISG securing and working on three projects at £200 million+ and one project at £300 million+ during 2018.    

Paul Cossell, CEO of ISG, commented: “Instead of waiting for new incumbents to disrupt our industry, ISG has used its 30 years’ experience as a market leader to tackle the productivity and cyclical financial issues that have plagued our industry for too long. 

“Traditional operating practices and central command structures do not work in our dynamic society or for agile global customers, so we have embraced change, empower our people to be creative and encourage radical thinking, with technology and innovation at our core.

“What’s clear is that ripping up the old rule book and learning from our tech-led customers has proved transformational for our business. 

“Our people are already generating the ideas and innovation that are proving instrumental in moving our industry forward. 

“From the launch of a new Level 3 qualification, to developing a standard component design for classrooms, or our very first filed patent for in-house developed technology, it is the quality of our people and the supportive structure around them that sets our business apart.”