Following the parent group’s March 2016 acquisition by Aconex, I overlooked the July 2016 publication of Conject UK‘s financial results for the year ending 31 December 2015. These show the Woking, Surrey-based business grew revenues by 12% from 2014‘s £5.696m to £6.385m (c US$9.48m or €8.71m at 2015 rates), and also increased profitability, returning a pre-tax profit of £102,275 (Note: I have updated the UK revenues chart published last Monday in my post about Viewpoint’s results).
The directors’ report by UK MD Steve Cooper returns to its FY2014 theme of pricing pressures (post), but says the business was still able to grow its customer base, partly due to customers valuing its quality of service and security provisions:
In addition to new successes in enterprise and programme appointments, the UK team enjoyed a greater level of success around individual project deals than in previous years. Whilst in general competitor activities have depressed average pricing for project appointments in a number of niche markets, we secured an increase in new appointments, at good price levels, with teams who placed extra value on service quality.
… Across the company’s markets, the organisation continued to grow its client base, and secured new enterprise and programme engagements with organisations such as Barratt Developments, Manchester Airports Group, ISG, Investment Corporation of Dubai, Gleeds USA, Changi Airport Group, Lend Lease and Interserve.
In addition, a number of appointments were achieved from customers with high information security demands on the back of a 12-month internal investment cycle focused on achieving considerably higher capabilities in this area across the company’s platforms and support services.”
The Conject UK business accounted for around a third of total Conject group revenues in 2015 (€24.5m). Its order book grew 5% to £13.35m at the year end, while headcount grew from 52 to 56, though I understand that since the acquisition some employees (in marketing and other support roles) have left the business. In July 2016, it changed its name to Aconex Services Ltd.
In recent years, Conject has tended to publish its UK results in the autumn, but presumably now it is an Aconex company it needed to complete its reporting earlier so that its numbers could be correctly summarised in the parent company’s reporting processes. Its financial year end has, subsequently, been adjusted to match the parent’s year-end of 30 June.