North East based Clugston Group grow sales by 26% to £231m

Clugston Group has announced a 26% leap in sales to £231m after seeing growth across all its divisions

Stephen Martin group chief executive of Clugston
Stephen Martin group chief executive of Clugston

North East based group Clugston has seized upon a rejuvenation of the sector to deliver a 26% jump in turnover.

The firm, which has interests in construction, facilities management, logistics and property development, has announced its second successive set of record-breaking financial results, in which revenues rose from the £183m posted in 2013 to £231m.

The group, which has a construction division with offices in Hebburn, also ended its latest financial year with a pre-tax profit rise of 5%, from £6m to £6.3m.

Clugston’s Construction experienced an increase in turnover of 40% to £136.7m from £97.5m, the third consecutive year of growth in excess of 30% for the division, which the firm said racking up exceptional results, despite challenging market conditions.

Celebrating 25 years in the North East this year, the construction company has continued to secure a mix of building and civil engineering contracts, the most recent being the new truck stop facility for Excelby Services at Leeming Bar and a laboratory for Tracerco.

Last month Clugston Construction won the Constructing Excellence (North East) Integration and Collaborative Working Award and also continued to develop opportunities in the industrial sector, an area in which it is historically strong at securing work with major process organisations.

Group chief executive Stephen Martin attributed the construction division’s success to its selective bidding strategy and effective project management, with robust risk control procedures.

He said the firm had remained focused on core sectors, while also seeking opportunities in niche markets, resulting in growth across all its activities.

Stephen Martin group chief executive of Clugston said: “I am delighted to be announcing our best ever set of results.

“We have substantially increased turnover, improved pre-tax profits, generated excellent cash balances and further strengthened our balance sheet.

“Our success is dependent upon the strong commitment and determination of all Clugston employees. I would like to thank them all for their dedication and hard work.”

Clugston Distribution Services, the group’s logistics division, also had a successful year delivering a 21% increase in turnover from £10.9m in the previous year to £13.2m.

The property division also performed well, seeing significant signs of recovery in a number of sectors. Activity increased on several projects, including Barmston Developments’ scheme at Turbine Business Park in Sunderland.


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