Multiplex anticipates covid-19 hit of up to £170m
The covid-19 pandemic could result in a hit to Multiplex’s bottom line of between £130m and £170m, the contractor has warned.
Multiplex said that the charge was “significant but manageable” and that it has not so far required any external funding to date and that its order book provided “strong cash flow” throughout 2021 and beyond.
The news came as Multiplex’s financial results for the year ended 31 December 2019 were published at Companies House.
The company generated revenue of £872m during the year, down from £1.1bn in 2018. EBITDA was a loss of £8.8m in 2019, compared to a £17.9m profit in 2018.
Multiplex said the loss was a result of four “challenged projects” and that excluding those, EBITDA in 2019 across the remainder of the business was £24.3m.
Multiplex’s core business construction order book was £3.4bn in the year to 31 December 2019, down from £4.6bn in 2018.
Among the projects Multiplex secured last year and early in 2020 were: the £234m Chelsea Barracks Phase 4 development, comprising 91 apartments spread across three residential buildings; Auriens Chelsea, a £75m luxury retirement home; and the £31m University of Glasgow Learning and Teaching Hub.