AIM-listed Hercules Site Services plc saw a 35% increase in the average number of operatives deployed by its labour supply business last year to 1,150 (2023: average of 850)
The number of people it has working for Balfour Beatty Vinci Joint Venture on the Midlands section of HS2 increased from around 425 in September 2023 to 630 a year later.
Hercules also has labour working on the National Emergency Areas Retrofit schemes on the M25 and other motorways.
Over the year to 30th September 2024 Hercules Site Services turned over £107.0m ( 2023: £84.7m) and made a pre-tax profit of £2.2m (2023: £1.5m).
These numbers include £5.1m of turnover and £3.3m of losses from the vacuum excavator business, which is now being sold. With growth in the labour supply business way outstripping growth in suction excavators, the 30-vehicle fleet has now been deemed to be non-core – as well as capital-intensive – and has been put up for sale, as previously reported.
Chief executive Brusk Korkmaz said: “We have yet again exceeded the market’s expectations and achieved another record year, delivering growth across all our core performance metrics. In doing so, our revenue growth for the last three years since listing has averaged 48% (compound annual growth rate), a performance of which we are incredibly proud. Cross-selling has continued to be a strong feature, and we have broadened our ability to maintain this trend having delivered our first acquisition during the year. This has provided us with a solid footing in the white-collar and permanent recruitment market, complementing our blue-collar labour supply services.
“Looking ahead, our confidence for FY 2025 is fuelled by a strong pipeline and a positive start to trading in Q1. We anticipate further organic growth across our continuing operations, while our recent equity raise of £8m provides us with a strong balance sheet with which to fund our ongoing, targeted M&A strategy. Add to this the fact that the outlook for the infrastructure sector remains buoyant and we are positive that we are well positioned for the year ahead.”
