Support services group SiteServ has reported a sharp fall in profits for the year to the end of April in what it called 'difficult market conditions'.
The company said profits before tax and once-off items were €700,000, down from €9.3m a year earlier. Revenue slumped from €228.6m to €151.4m.
SiteServ said it had reduced its net debt by €4.4m and negotiated a new banking agreement to provide it with greater flexibility. It added that a cost-cutting programme had saved €3.2m during the year.
During the year, SiteServ won a three-year €60m contract to provide energy services to homes on behalf of Bord Gáis.
The company said the outlook for the current financial year remained tough, though trading had so far been in line with expectations.
Though the energy and infrastructure business will benefit from the Bord Gáis deal, it is being affected by cuts in Government and local authority spending, particularly on roads.
Its UK division is benefiting from a strong performance in the industrial services business, though its scaffolding business is being hit by subdued activity.
