The builder responsible for the redevelopment of Newcastle Stephenson Quarter and the Central Station has unveiled a 900% rise in pre-tax profits.
Miller Group’s interim results for the first half of the year to June 30 show profit before tax rocketed to £4m, compared with £0.4m at the same time last year.
Turnover was also up by 27%, from £284.1m last year to £361.5m.
The Edinburgh-based group attributed its success to accelerating sales and operating profit in its housing subsidiary Miller Homes, which has built developments across the North East.
Other highlights included a robust construction order book at £1.8bn, strong property development trading and a mining arm which bucked the industry trend with a full order book.
In a statement, chief executive Keith Miller said: “The group made good progress during the first half of 2013 with increased profits, a longer land bank, strengthened order books and reduced debts.
“Housing has already secured 92% of target volumes for 2013 and most of the land required for 2014. Construction has also gained all the target turnover for 2013 and almost three-quarters of its 2014 target.
“Our anchor sites in Development have strong letting and investment interest and in mining we have a full order book for 2013 and 2014.”
Miller said that for the first time in five years, he believed the macro-economic picture was beginning to improve, with the group having a strong base to increase growth and value. He pointed to the Government’s Funding for Lending and Buy to Let schemes for a marked improvement in the housing market, with encouraging signs that consumer confidence was returning.
In Newcastle, the Miller contract at the Stephenson Quarter is valued at £44m while its Newcastle Central Station contract is worth £8.6m.
In an extremely competitive market, the construction arm achieved its targeted turnover for the year, property development in main focus areas Aberdeen, Glasgow, Manchester and London was strong and cash-generative mining at a single site in South Wales.
The Miller Group currently has 1,485 employees and recruitment is ongoing across the business.