PTSG reports ‘record levels’ of organic growth following acquisitive year

PTSG reports ‘record levels’ of organic growth following acquisitive year

Specialist services provider PTSG has reported growth in profits and revenue following an acquisition year.

For the year ending 31 December 2018, the listed Castleford-headquartered firm saw revenues reach £69.1m, which marks a 31% rise on the £52.9m achieved the year prior.

The group’s Electrical Services’ division reported the biggest increase in revenue, rising by 53% to £30.8m. It is now the largest division accounting for 45% of the overall revenue.

During this time, pre-tax profits also rose from £1.8m to £3.7m and PTSG’s gross profits increased by 29% from £27.1m to £35m.

This growth was spearheaded by the two acquisitions PTSG completed in 2018. The group snapped up M&P Fire Protection in a £3.5m deal in July, which has “significantly enhanced” the scale and geographic coverage of the group’s sprinkler and dry risers operations.

The acquisition of Guardian Electrical Compliance was completed in October 2018 for £16m. Guardian increased PTSG’s presence in the electrical safety services market and possesses in “TraQ-It” a proprietary software platform which provides customer and staff with an interactive online portal.

As for the current financial year, PTSG also acquired Trinity Fire and Security Systems in January 2019 for £15.8m. The group said that Trinity is a “transformational transaction” since it increases the size and offering of its Fire Solutions Division, making it the largest division in the group.

PTSG operates through four core divisions: Access and Safety, Electrical Services, Building Access Specialists and Fire Solutions. It serves more than 20,000 customers (with more than 150,000 buildings) spread over a broad range of sectors.

John Foley, chairman of PTSG, said: “The second half of 2018 saw the Group make two further acquisitions, raise fresh equity proceeds of £20m and continue to deliver further healthy levels of organic turnover and profit growth.

“As a result of all these factors, I am pleased to report that record levels of turnover, gross profit, adjusted EBITDA and adjusted earnings per share were achieved in the year. Subsequent to the year end we announced the acquisition of Trinity Fire and Security Systems Limited, which greatly increases the size and offering of our Fire Solutions Division and percentage of turnover from recurring and maintenance activities.

“2019 has started well as we continue to deliver against our strategy to seek sector dominance in the markets we serve, and the Board is both confident and enthusiastic about the Group’s prospects and performance.”