ABERDEENSHIRE-based housebuilding and construction firm Bancon Group has reported a 13% rise in turnover and a doubling of its pre-tax profits.
The company’s latest set of accounts, for the year to 31 March 2025, show turnover across the group increased from £97.7 million to £110.7 million. This helped to drive a 100% rise in pre-tax profits from £1.3 million to £2.6million.
Founded in Banchory in 1975 and celebrating its 50th anniversary this year, Bancon Group employs around 250 people across its trading divisions of Bancon Homes, Bancon Construction and Deeside Timberframe.
The group handed over a total of 338 private and affordable homes in the year to March 2025.
During the same period, Bancon Homes achieved a Gold Award for Customer Satisfaction from Inhouse Research for the eighth consecutive year and saw a 38% increase in the number of private homes sold, which drove a 22% increase in turnover.
The business reported that ‘while the impact of uncertainty around geopolitical events and UK policy announcements had an impact on purchaser appetite post-Christmas, visitor levels and sales have recovered since that point and this momentum has been maintained into the new financial year’.
Deeside Timberframe, meanwhile, increased turnover by 23%. A ‘continued focus on efficiency along with relative stability in raw material prices’ was said to have allowed margins to be maintained. The timber frame manufacturer has also progressed the delivery of its strategic plan, including a multi-million-pound automation investment at its recently expanded Stirling factory and the opening of an office in Warrington to serve customers in the north of England.
The group also reported that its construction business has made ‘good’ progress against its strategic aim of delivering better margins, with the business posting its highest pre-tax profit since 2007, despite a managed 9% reduction in turnover. This has been attributed to effective partnerships with local authorities and housing associations that focus on retrofit work and land-led affordable housing.
Andrew Tweedie, Bancon Group’s chief financial officer, said, “It is extremely satisfying to be able to report a significant uplift in profits in the year to March 2025. These accounts build on the strong results we achieved last year, despite the range of pressures being faced by the industry.
“Whilst there has been some easing of the headwinds in certain areas, our sector continues to face challenging conditions which makes our performance over this period all the more notable. Our results are testament to the success of the strategies in place across the group and the dedication and talents of the people involved in delivering them.
“We are targeting further profit growth in the current financial year and have made a positive start, with strong sales across both our homes and timber frame businesses as well as a significant contract win in our retrofit construction business.”
Work has started on Bancon’s latest private housing development, Valley View at Milltimber in Aberdeen. The new community of four and five-bedroom homes on North Deeside Road is due to launch later this year.
Group chairman Bob McAlpine added, “We are delighted to have commenced this long-awaited flagship site in Aberdeen and expect to secure further additional sites throughout the year as we continue to play our part in supporting the much-needed delivery of private and affordable housing across the country. I am extremely proud of the entire Bancon team who have all played their pard in delivering our positive set of results.”
