New contracts and cost-cuts boost bottom line
Camper & Nicholsons Marinas Ltd (CNM) saw a return to profitability in 2018, as shown by its most recent filing to Companies House, the UK business register. After tax, a loss of £40,948 in 2017 was transformed into a profit last year of £356,249.
The directors report covers the period up to December 31, 2018. “As reported last year, the company’s cost base was reduced during the last three months of 2017 which the directors expected to help the company to return to profitability during 2018. With the additional benefit of a major new consultancy contract and increased revenues from an existing operational agreement, which together generated in excess of £500,000, the company recorded a profit before tax of £359,086 in 2018,” says the report.
However, the directors warn: “Although the directors do not anticipate such a high level of profit to continue every year, with the reduced cost base and a reasonable level of consultancy work, the directors believe the company should continue to trade profitably.”
The directors described Brexit as “one of the most significant political and economic events to confront the UK in recent years.” However, regarding the impact on CNM, the report said that the company’s business is “international in nature, underpinned by long-term agreements for the provision of services to marinas situated around the world.
“Consequently, any short-term decline in the UK economy is unlikely to have a material impact. In the medium to longer term, the impact on the company is less predictable.”
CNM’s profit and loss account for 2018 compared to 2017 shows:
|2018 (£)||2017 (£)||% diff|
|Cost of sales||318,338||234,255||35.9%|
|Operating profit after costs||359,086||-37,823||949.5%|
|Profit/loss after tax||356,249||-40,948||970.0%|
Turnover was sourced geographically as follows:
|2018 (£)||2017 (£)|
|Asia & Middle East||386,114||148,409|
|Rest of the World||23,845||-|
Staff costs in 2018 amounted to £666,899 compared to £855,766 in 2017. The remuneration for directors was £297,263 in 2018 and £422,868 in 2017.
CNM is a subsidiary of CNM International, which is registered in Malta. The ultimate parent of these companies is CN Marina Investments Ltd, which is registered in Guernsey. The ultimate controlling owner is First Eastern (Holdings) Ltd, based in Hong Kong, which manages the marina interests through its wholly-owned subsidiary FE Marinas Ltd.