Amey鈥檚 2023 accounts show strong profits and cash-flow; according to chief executive Andy Milner, it is in 鈥渆xcellent shape鈥� and looking for acquisitions.
In 2023 Amey UK Ltd made a pre-tax profit of 拢97.0m on revenue of 拢1,836m.
Amey was acquired by UK private equity investors One Equity Partners and Buckthorn Partners on 30th December 2022 from Ferrovial of Spain in a 拢400m. transaction.
鈥淚n the first full year of new ownership, Amey has performed well, ahead of expectations and in line with the growth strategy I set out when I rejoined Amey at the end of 2022,鈥� Andy Milner said. 鈥淭he business performance is strong validation of the strategic plan and the unique operating model which has been embedded during 2023.
鈥淔inancially, the business has been very stable, and all business units have achieved or exceeded their budget plans. As expected, the performance of the business has not been affected by macroeconomic or geopolitical turbulence, demonstrating the resilience of the business model and the comprehensive approach to risk management.
鈥淲ith the support of our investors, One Equity Partners and Buckthorn Partners, we have accessed new opportunities, particularly in energy transition and decarbonisation where we are able to develop, implement and manage practical infrastructure solutions.鈥�
He said: 鈥淭he business demonstrated in 2023 that, unincumbered from discontinued operations disposed of in 2022, it is capable of significant cash generation.鈥�
Group cash flow in 2023 was 拢79.9m, compared to a 拢10.4m outflow in 2022. This inflow is even after including 拢30.9m payments made against historic contract loss provisions.
Operations that Amey has shed in recent years include waste collection, utilities power projects and military accommodation.
Having extricated itself from loss-making ventures, Amey is now looking for new activities to dive into, specifically: 鈥淲e are looking to diversify our sector presence and capability through acquisitions and by using our existing and emerging digital platforms to grow our international advisory and consulting offering,鈥� said Milner.
Andy Milner joined Amey originally in 2006 when it acquired consulting engineer Owen Williams. He became chief executive in 2016 but then left at the end of 2019 after a series of loss-making ventures, including the Birmingham Highways debacle. Amey had to pay Birmingham City Council 拢215m to terminate a PFI highway maintenance contract. However, the new private equity owners brought him back as their first move.
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