South East concrete frame and building contractor O’Halloran & O’Brien Group has posted record turnover up 18% to £369m in the year to March 2025 but warned that Building Safety Act delays are eroding margins and holding back tall residential schemes.
Directors cautioned that reduced demand in the sector, coupled with global uncertainty, meant turnover would likely dip in 2026, despite a strong balance sheet and long-standing client base.
Pre-tax profit edged up to £22m from £21m last time, but operating margin slipped from 6.7% to 5.9%.
OHOB Group chairman Tom O’Brien said: “We are proud to have achieved another year of consistent profits from record turnover despite challenging economic conditions.
“But margins remain under pressure and we continue to see delayed starts on major residential schemes as developers wait for Building Safety Act approvals. Once those reforms unblock, demand and pricing will increase significantly.”
The group, which spans O’Halloran & O’Brien, B&T Plant Hire, Riverdale Developments, Keady Construction and Forsa Utilities, invested £12.5m in new plant and equipment during the year. All divisions were said to have contributed proportionately to profit.
O’Halloran & O’Brien, the main contracting arm, lifted turnover 7% to £288m but saw profits dip as overheads rose. Operating margin slipped to 3.5% from 4.4% a year earlier as pre-tax profit eased down 3% to £12.9m.
The group ending the year with a £92m cash pile, £10m higher than 2024.
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