WET News

LEADERS 2018 17 THE LEADERS 2018 DOOSAN ENPURE Parklands Business Park Rubery Birmingham B45 9PZ Tel: 0121 683 2800 www.doosanenpure.com Birmingham-based Doosan Enpure posted a pre-tax loss of £1.2 million in 2016, following a loss of just over £600,000 the prior year. The company, which specialises in the design and installation of treatment plants, had a net overdra• in excess of £1 million on New Year's Eve 2016, according to its most recent annual accounts. Doosan Enpure said it had experienced "project slippage" due to the slow start of AMP6. However, it revealed the securing of a large project early in 2017 and said ongoing tender activity added to its confidence that the company was in a "strong position". It boosted its revenue by more than a quarter to £10.2 million in the year to 31 December 2016. The firm added in its most recent annual report that it had received a letter of support from Korean parent company Doosan Heavy Industries & Construction. This letter "states its intent Doosan Enpure overcomes losses to provide the necessary financial support to ensure the company is a going concern for at least 12 months from the date of signing these financial statements", according to Doosan Enpure's directors, who said they expected to have access to adequate resources for the foreseeable future. In June 2017 the firm won a key role on Severn Trent's £300 million Birmingham Resilience Project. It will work in partnership with North Midland Construction on the design and build of a water treatment plant at Frankley. Doosan Enpure won a £20 million design-and-build deal for an anaerobic digestion plant project at Severn Trent's Strongford sewage treatment works near Stoke-on-Trent in August. The firm will again be working with North Midland Construction, as well as Dutch technology provider Sustec BV. Doosan Enpure chief executive Avtar Jirh says the firm will "continue to strengthen our business and capabilities, making changes and innovations within the industry that provide world class services". DAWNUS CONSTRUCTION Unit 7 Dyffryn Court Riverside Business Park Swansea SA7 0AP Tel: 01792 781870 www.dawnus.co.uk Dawnus seeks upturn in fortunes Swansea-based contractor Dawnus has been in the doldrums since 2014, with three years of declining sales and operating profits, although 2017 showed signs of a return to profitability. Dawnus describes itself as "a different kind of construction company" that displays a unique approach to planning and delivering projects based on the concept of a virtuous circle, where every aspect of delivery contributes to developing future plans and there is a continuous improvement in service offered. Recent water sector projects include the £11.3 million Dolbenmaen water treatment works for Welsh Water and Black & Veatch, and the £5.35 million Coed Dolwyd service reservoir in Conwy, also for Welsh Water. Since 2015 Dawnus has been working with Wessex Water on its AMP6 capital investment and capital maintenance framework; the contract has the opportunity to continue through to 2025, with projects ranging from £50,000 to £25 million in value and a total capital programme of works totalling over £800 million. Work has included constructing new assets and the refurbishment, modifications to and maintenance of existing above and below ground assets such as water treatment works, sewage pumping stations, service reservoirs and water pipelines. Another valuable client is Natural Resources Wales, which Dawnus serves as part of its civil engineering framework. The privately owned Dawnus Group carried out a restructuring in 2015 following losses that it blamed on its African mining operations; it has since refocused on the UK and civil engineering in particular, and said it is confident this will yield an improvement in fortunes. The civils operation is split into eight divisions: bridges and structures; groundworks and infrastructure; highways and transport; power, process and utilities; waterways, marine and flood alleviation; public realm; waste management; rail; and international civil engineering. THE NUMBERS 2012 2013 2014 2015 2016 % change Sales £m 176.7 142.3 159.5 148.8 143.8 -3 Gross profit £m 24.8 11.5 13.7 9.9 8.2 -17 Operating profit £m 18.3 7.0 8.0 5.4 4.5 -17 Pre-tax profit £m 17.6 6.2 6.9 4.5 4.0 -10 Staff 1,587 353 354 315 285 -10 Net assets £m 23.1 17.6 24.7 29.3 32.8 12 THE RATIOS 2012 2013 2014 2015 2016 % change Return on capital % 76.4 35.4 27.8 15.3 12.3 -20 Gross margin % 14.1 8.0 8.6 6.7 5.7 -14 Operating margin % 10.4 4.9 5.0 3.7 3.1 -14 Net margin % 10.0 4.4 4.3 3.0 2.8 -7 Sales/employee £k 111.3 403.1 450.5 472.3 504.4 7 THE NUMBERS 2012 2013 2014 2015 2016 % change Sales £m n/a 2.3 11.2 8.1 10.2 27 Gross profit £m n/a 0.3 1.4 1.0 0.6 -43 Operating profit £m n/a -0.7 0.1 -0.6 -1.1 n/a Pre-tax profit £m n/a -0.7 0.0 -0.6 -1.2 n/a Staff n/a 20 28 33 42 27 Net assets £m n/a 2.2 2.2 1.8 0.8 -54 THE RATIOS 2012 2013 2014 2015 2016 % change Return on capital % n/a -30.3 1.5 -34.5 -146.7 n/a Gross margin % n/a 12.3 12.2 12.4 5.6 -55 Operating margin % n/a -29.5 0.5 -6.9 -10.9 n/a Net margin % n/a -29.6 0.3 -7.5 -11.5 n/a Sales/employee £k n/a 113.8 399.6 244.8 244.0 -0

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