CEO Jonathan Beckett increases majority share from 63% to 71%
Nigel Burgess Ltd, the UK lead company for the Burgess Yachts brokerage, charter and services group, has reported a 315% rise in profits (after tax) for the year to December 31, 2018, reaching a total of £1.77m.
Ultimate control of the company rests with Nigel Burgess SAM, a Monaco-registered parent company which in turn is majority-owned by Jonathan Beckett, CEO of the group. During the 2018 fiscal year, a dividend of £1.52m was paid to the parent company and in April 2019, Beckett increased his holding in the parent company to 71% from 63%.
In its filing of accounts to Companies House, the UK business register, Nigel Burgess Ltd reported the following key performance indicators:
|2018 (£000)||2017 (£000)||Change (%)|
|- Staff costs||10,950||9,491||15%|
|Profit before tax||1,875||356||427%|
|Net Income (after tax)||1,766||426||315%|
|Average numbef of employees||107||103||4%|
The director’s strategic report noted: “Buoyant market conditions across the industry has resulted in an increase in turnover in 2018 and this has had an expected impact on profit before tax. Captial expenditure and operating costs have continued to be tightly controlled.”
Administrative expenses were £19.96m in 2018 up 28% from 2017, but down in terms of percentage of revenues to 92% from 98% the previous year. Staff costs – including wages, salaries and social security contriubtions – represent the largest operating cost to the business coming to £10.95m, compared to £9.49m in 2017.
Other 2018 expenses included director renumeration of £1.79m, and leases for land and building rental of £0.824m. The highest compensated director earned £0.613m.
The company reported that it’s primary financial commitments include non-cancellable operating leases amounting to £5.65m over the next five years. Burgess Yachts has no long-term interest bearing debt.
In respect of future developments, the directors commented: “The group will continue to provide a full range of services to superyacht clients, including yacht sale and purchase, yacht charter, operational and crew management, and technical supervision of new construction projects.” The group also continues to operate an overseas branch in Palma.
It added: “The directors will continue to examine opportunities both to extend the current geographic reach of the business, to improve the profitability of existing services, and to develop additional services as client needs change with the economic situation.”
The filing also stated that Nigel Burgess Ltd and parent company had two 100% owned subsidiary companies, namely Oceanstyle Yachting Ltd, which is based in the UK and active in yacht broking and management, and Burgess Crew Services (Guernsey) PCC Ltd whose activities relate to crew operations.