Waste and demolition group G O’Brien & Sons saw pre-tax profits rise to £3.5m on the back of major contract wins and client retention.
The Boldon-based firm, which employs 243 people in the North East, saw pre-tax profits rise from £3.2m to £3.5m in the year to the end of April 2014, as director Nathan O’Brien said the firm had been particularly successful at retaining existing clients while developing new business.
Turnover fell slightly from £36.3m to £35.5m during the year but the cost of sales was reduced from £29m to £27.2m.
Mr O’Brien, one of four directors of the family-owned business, said the company had expanded significantly over the period thanks to continued growth in work.
He said: “We’ve been successful in retaining a lot of clients, particularly in terms of our larger contracts across the region for the likes of Sunderland, Northumbria and Newcastle universities.
“We are seen as one of the best in the region at what we do. Our position as a family business has helped us offer a better relationship to our clients.
“As we grow we’re keen to make sure that customers understand we intend to continue in this way.”
He added that O’Brien’s business development team was finding success with smaller but equally important contracts for the likes of restaurants and retailers.
G O’Brien & Sons encompasses five separate divisions, including waste management, asbestos removal, land remediation, demolition and dismantling and architectural salvage.
Mr O’Brien said the firm’s waste management arm had delivered upwards of 40% growth in the last five years.
In a business review accompanying the accounts filed at Companies House, the firm said pre-tax profits had risen 65.4% over the four years to April 30 2014.
Mr O’Brien also said the recent administration of Aylesbury Newsprint, one of the UK’s largest paper recycling facilities and the administration of major bottle recycler Eco Plastics in December last year, had impacted the capacity of the recycling industry.
In early 2014 O’Brien Waste Recycling Solutions signed a three-year contract for an undisclosed sum with Sunderland, Tyne Met and South Tyneside colleges.
The contract, which is part of the North East Shared Services Project, saw O’Brien’s assume management of the general and mixed recycling waste removal from the three colleges.