The group said that its strategy of “controlled consolidation” has resulted in strong profit growth alongside a targeted and deliberate reduction in turnover.
Two years ago, the group reported three-fold growth in turnover in a single year but only a pre-tax loss to show for it.
Since then, it has followed a policy of reduced turnover and better control of contract risk to reverse the trend.
The strategy has resulted in increasing profit before tax to £1.04m (2023 £0.92m) and a significant improvement in cash at bank of £19.3m (2023 £10.2m).
The gross margin increased to 3.2% (2023: 2.6%) but was affected by the settlement of a long-standing project, without which the group says gross profit margin would have been £15.2m (6.3%).
The latest figures reflect GMI’s focus on “profitable opportunities that deliver real bottom line improvement”. Recent major projects have included new student accommodation developments such as Avon Street in Bristol and Leeds City College’s Mabgate campus.
Other key projects include a multi-million pound extension and upgrade to the Centre of Excellence in Sustainable Advanced Manufacturing for Sunderland City Council and No.3 Circle Square, an £87m, 267,000 sq ft development for Bruntwood SciTech, a joint venture between Bruntwood, Legal & General and Greater Manchester Pension Fund.
GMI said that its strategy of controlled consolidation has led to an improved pipeline of high-quality work for the year ending 30th September 2025, with the firm already securing turnover with a value of £217m for the current financial period.
Group managing director Gareth Jones said: “The business is targeting stable and controlled growth for future financial years, applying the rigour and stress tests to carefully consider risks on projects. Significant improvements in systems and information now allow data-driven assessments. These are used in conjunction with prudent business practices and a risk-averse strategy to enable sound commercial decision making.”
He added: “The four regions that GMI operates in are all now established and thriving. These are Yorkshire, northeast England, northwest England and the Midlands. This regional focus will continue, empowering each region to drive opportunities and growth through their individual relationships and knowledge whilst being supported from group for central functions coupled with controls for overall group consistency and to leverage efficiencies.”
