Esh Group today reported healthy results with growth in both turnover and profitability in a year which has seen substantial changes take place throughout the business.  Group turnover was £48.4m, an increase of 12.3% on 2001and gross profit before tax was £4.8m, an increase of 77%.  The margin of profit has increased from 6.3% in 2001 to 9.9% in 2002.

Group Managing Director, Brian Manning, said;

'The quality financial results which have been achieved this year reflect the solid nature of our business and our continuing focus on ever raising our standards.  We have continued to deliver high quality work and client service in an active, competitive market.

'During the year we have had opportunities to bid for increasingly technical and high profile projects.  This is pleasing and confirms that we are recognised as one of the most respected construction and development companies in the region.'

Speaking from the Group's new headquarters, Group Chairman, Michael Hogan, said;

'Our principal focus during the year has been on delivering manageable growth.  We have, at times, been severely tested in having had to operate from fragmented facilities.  Therefore I am delighted to report that we have committed to moving Esh Group and its subsidiaries to purpose designed and built facilities at Bowburn North Industrial Estate.

'By August 2003 all operations will be headquartered on the new 8-acre site which includes a centralised head office, fitting shop, fabrication shop, plant yard, workshops and stores.  These excellent new facilities will deliver great benefits to both our clients and staff alike.'

Many staff will be present at the AGM today as over 50% are shareholders of Esh Group.  All are eligible to participate in the Staff Share Ownership Scheme and to receive shares as part of their performance related reward package.  Brian Manning explained;

'Our Staff Share Ownership Scheme is fundamental to our business.  We are proud that the Group as a whole is owned by staff and management; it is a very motivating atmosphere in which to do business.  Going forward the Scheme is important to the development of the Group as we continue to nurture and reward good people.'

During 2002 Esh Group formed one new company and purchased another.  Dunelm Property Services Limited has been launched principally to target social housing regeneration schemes in the North East.  An 80% holding has been acquired in Mechplant Limited, the plant hire business with the remaining 20% being retained by its management.  Lumsden & Carroll, the civil engineering subsidiary, reported its thirteenth consecutive year of increases in both turnover and profits.