Chap Group expects ‘marked improvement’ after £4m loss last year

Chap Group expects 'marked improvement' after £4m loss last year

Hugh Craigie

Aberdeenshire-based Chap Group has said it expects a “marked improvement” this year after recording a £4 million loss in the 2018-19 fiscal year.

Managing director Hugh Craigie told The Press and Journal that the group’s construction and civil engineering divisions had remained profitable last year.

He blamed the group’s £3.99m pre-tax losses in the year ending 30 September 2019 on the “challenging residential housing market [which] adversely affected the Chap Homes division”. Overall, the group’s turnover fell by nearly 40% to £31.5m.

However, Mr Craigie said the group had recorded a profit in the first six months of 2020, and had experienced a “flurry of interest” from homebuyers shortly after the Covid-19 lockdown.

The firm’s appointment last August to build 369 council homes at the former Summerhill Academy site in Aberdeen will underpin Chap Construction’s turnover for the next four years, he added.

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