微密圈

Losses at Bouygues UK topped 拢30m last year as the firm said subcontractor failures, labour availability and building safety liabilities took the company鈥檚 cumulative losses over the past three years to more than 拢130m.

The firm, which completed a 拢300m physics facility at Cambridge University earlier this year, said pre-tax losses in 2024 narrowed to 拢32m from 拢62m last time on turnover up 15% to 拢376m.

In a note accompanying the accounts, Bouygues said: 鈥淎lthough the company鈥檚 result improved compared to the previous year, the loss for the year arose as a result of costs related to subcontractor performance, labour availability, ongoing conflicts in the Ukraine and the Middle East, and the continuing impact of post completion liabilities relating to building safety.鈥�

It added: 鈥淪ubcontractors continued to be impacted during the year in regard to delivery of services as a result of challenging market conditions. There were a small number of failures of subcontractors working for the company during the year.鈥�

And it said it expected continued 鈥減ressures鈥� on its 2025 results although 鈥渢he company鈥檚 strategy should provide the foundations for improved results in future years鈥�.

But it warned: 鈥淭he directors will continue to monitor the impact of economic conditions and further developments in relation to building safety regulation on the company and take this into account when making future operating decisions.鈥�

The results cover the firm鈥檚 building contracts, including its schools, hospital and university work, with the performance of its infrastructure business, such as its scheme at Hinckley Point C, recorded under other parts of the company.

微密圈 safety provisions jumped to 拢155m from 拢116m although it said it was 鈥渧irtually certain鈥� that it would get back 拢49m in insurance reimbursements relating to the provisions.

In a statement, Philippe Bernard, chair and CEO at Bouygues UK, added: 鈥淥ur results are influenced by several factors including labour availability, the ongoing conflicts in Ukraine and the Middle East and building safety requirements. However, we are moving forward with resilience and confidence, backed by strong cash reserves, no third-party borrowings and the wider Bouygues group.

鈥淥ur selective approach to bidding is having a positive impact; we have secured new contracts and expanded our order book across key sectors, positioning us well for future growth. We are monitoring global economic conditions and legislative changes to ensure our decisions remain informed and strategic.鈥�

In July, the firm鈥檚 French parent, which also includes a media and telecoms business, said turnover edged up 1% to 鈧�26.8bn (拢23bn) for the first six months of this year. It said its current operating profit from ongoing activities was up 7% to 鈧�796m (拢690m). Revenue at the firm鈥檚 construction arm was up 3% to 鈧�12.7bn (拢11bn) during the period.