Construction and fit-out specialist ISG has reported a strong finish to the financial year ending 30 June 2010 in its UK businesses, though it performed less well abroad.
A statement from the firm, , said: 鈥淥ur UK businesses have performed strongly ahead of expectations and this has offset a delay in the expected pick up in international markets.鈥�
Its current order book stands at circa 拢740m (June 2009: 拢822m), of which 拢680m (June 2009: 拢686m) relates to the financial year ending 30 June 2011.
ISG's said it expected to finish the year with cash of 拢28m, down from 拢32m at the end of the last half-year period.
The firm reported 鈥渟ome recovery鈥� in London fit-out, 鈥渂ut with a highly competitive market place margins were under pressure鈥�.
Its retail business, through its focus on financial and food retail, has maintained revenues in-line with prior year, with margins improving in the second half of the year, ISG said. The UK construction business performed 鈥渟trongly鈥� with increased margins, despite lower revenues.
Overseas operations remained a challenge, the firm said: 鈥淒elay to the start of projects by our multinational clients continued to be a feature in our overseas operations, however we saw a marked improvement in activity in the last quarter.
鈥淯nlike our other overseas operations the Japanese market has shown no sign of recovery in the investment plans of our multinational clients and as a result we have decided to discontinue our operations in Japan at a total loss for the year of 拢0.8m.鈥�
The statement concluded: 鈥淚n a challenging market, the Group's diversification strategy continues to position itself towards more resilient regions and sectors. ISG's activity is currently split 70% private sector and 30% public sector.
鈥淲e will continue to pursue growth opportunities both organically and by acquisition in our three principal markets of Fit Out, Retail and UK 今日看料.鈥�
ISG's preliminary results will be announced on 8 September 2010.
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