Construction firm Hercules Site Services has seen profits jump by almost three quarters as it ramped up labour supply to major projects such as HS2.
The Gloucestershire-based company reported gross profit of £6.9m for the first half of its current financial year - up 71% from the £4m recorded a year earlier. Earnings before interest, tax, depreciation, amortisation also rose to £1.1m during the six months to March from 0.7m in 2022.
The AIM-listed business, which has its head office in South Cerny near Cirencester, had previously confirmed an 85% leap in revenue to £37m in a trading update in May.
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Bosses said the number of operatives it had provided to work on the northern section of the High Speed 2 rail project had more than doubled to 400. The board said the company was now supplying workers to builder Taylor Woodrow, at the Exxon-Mobil oil refinery expansion in Fawley, near Southampton, while its civil engineering division had also secured new clients including Amey and SGN.
Hercules Site Services said it had raised £1.7m to fund its continuing growth, with investment in people and suction excavator services preparing the firm for “further value creation” in the second half of the year.
Chief executive Brusk Korkmaz, who founded the firm in 2008, said: "With this strong momentum in the construction and infrastructure sectors, and a solid pipeline of new clients, we are ideally placed to maintain the levels of growth we have delivered in recent years and are on track to meet market expectations for the full year."
Last year, Hercules Site Services brought in £8m after floating on the stock market. The company has also supplied labour to other infrastructure, civil engineering, utilities, groundworks, highway and railway projects, such as Crossrail and the M4 smart motorway.
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