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Breedon expecting no fallout from AWPR

Breedons Craigenlow quarry in Dunecht
Breedons Craigenlow quarry in Dunecht

Building materials giant Breedon said yesterday it did not expect any adverse impact from its involvement in the Aberdeen city bypass road despite the collapse of one of the consortium partners behind the project.

Carillion, which was building the much-awaited road alongside Morrison Construction and Balfour Beatty, crashed in January.

Transport chiefs insist the Aberdeen Western Peripheral Route will be completed by the other two firms within weeks but have set no date.

Reporting huge jumps in 2017 profits and turnover yesterday, Breedon said: “We continued to supply material to both the first phase of the A9 (Inverness to Perth) dualling project, completed in the second half of the year, and the AWPR.

“Due to the joint and several liability structure of the contract held by the (AWPR) consortium, we expect the project to be completed by the remaining parties with no adverse financial impact on Breedon Whitemountain (a joint-venture supplier for the route) or Breedon Northern.”

Breedon – the UK’s largest independent building materials firm, with around 950 people working across 38 quarries, 17 asphalt plants, nearly 70 ready-mixed concrete sites and two concrete block facilities in its Dundee-based northern division – said pre-tax profits rose by 52% to £71.2million last year.

Revenue rocketed by 43% to £652.4million as the group, which is based near Derby, benefited from “improved performances from all three divisions”.

Executive chairman Peter Thom said: “2017 was one of the most productive years in our history.

“Our business is in great shape and we are well-positioned to benefit from the medium-term growth in residential and infrastructure development to which the majority of our material is supplied.”

Breedon also announced former chief executive Simon Vivian was retiring from the board.