Company Report: McAvoy Group
The McAvoy Group, headquartered in Dungannon, specialises in the construction of permanent offsite modular buildings and the hire and sale of modular portable buildings.
Since 2009, after a fall in turnover in 2008 and 2009, annual turnover has improved steadily and has reached a new high level at over £57m in the most recent year. The 28% increase is attributed to the market focus strategies adopted which have facilitated a continuing growth in shareholder value.
Looking ahead, the report is pleased that order levels in 2017 are continuing at an encouraging rate.
The group registered an increase of 89% in operating profits in 2016, compared to 2015, and after adjustment for the net cost of interest payments, pre-tax profits rose by 107% to £2.3m.
The number of people employed in the group has varied as turnover has changed. Average employment in 2016 was 174 people.
This compares with 2007 when 246 people were employed.
That total fell in each year after 2007 until 2011 when only 119 people were working for the firm.
By 2016, the numbers have continued to increase, averaging 174 people.
The financing of the business has been assisted with funds borrowed from Danske Bank.
However, in 2016, McAvoy Group has managed to reduce its borrowing by nearly £6m and, in the absence of dividend distributions, the shareholder balance sheet value of the investments has risen to just over £7m.
Creditors outstanding within one year reduced from £25.5m in October 2015 to £19.7m a year later.