Mechanical and electrical (M&E) specialist Essex Services Group (ESG) is eyeing further expansion into the technology and fit-out markets after posting record annual turnover for the second consecutive year.
Turnover rose by 24 per cent to £207m in its latest accounts for the year to 31 December 2024.
This positions ESG as “the largest London-centric MEP contractor in 2024”, directors said.
“We are actively looking to increase our footprint in the technology and major fit-out markets” in the short-to-medium term, they added.
Romford-based ESG generated a pre-tax profit of £7m, marking an 82 per cent increase on the previous year’s £3.9m.
Its profit margin broadened from 2.3 per cent in 2023 to 3.4 per cent the following year.
ESG was founded in 1975 as an electrical services contractor but has since branched out into M&E services.
Its client base includes tier one firms such as Kier, Morgan Sindall, Sir Robert McAlpine and Wates.
The firm was a new entrant in the CN100 2024 rankings for top contractors, in 96th place with turnover of £167.3m in 2023 – an annual record at the time.
This marked a 46 per cent rise on the previous year’s £114.6m.
But directors said in the latest accounts that ESG was “firmly focused on sustainable growth and long-term profitability, rather than solely turnover”.
The firm reported cash at hand of £20.9m, up from £18.1m the year before.
Average monthly staff headcount grew from 248 to 285 employees, which ESG said “is consistent with the growth of the business”.
The M&E specialist also employed 40 apprentices last year, accounting for 14 per cent of its workforce.
No dividends were paid out and ESG held no short-term or long-term bank loans.
Looking ahead, ESG directors said the firm “has secured the majority of its targeted turnover for 2025, with a strong pipeline in place for 2026”.