Bottom line holding up
Central belt work helps numbers tally at Johnston Carmichael
Expansion in Scotland’s central belt has helped chartered accountants Johnston Carmichael weather “challenging” trading conditions in the northeast and achieve record revenues of £43.7million.
Announcing the Aberdeen-headquartered firm’s annual results for the year to the end of May, chief executive Sandy Manson said he sensed more
“It continues to be a difficult time in the market in our heartlands”
confidence returning to its traditional heartland.
The company’s figures showed a 7% growth in turnover from £40.8million in its previous financial year. Net profit before members’ remuneration rose by 5% from £11.6million to £12.2million over the same period.
Mr Manson said: “It’s extremely encouraging to report that the firm continues to grow and develop despite some challenging trading conditions including the uncertainty surrounding Brexit and lower oil prices which continue to affect the north-east.
“Our expansion in the central belt has bolstered and protected the business from regional variations and really helped us to maintain a healthy level of growth.
“Over the past six months, we’ve leased extra office space in both our Glasgow and Edinburgh offices as we continue to grow our services and invest in talented advisers to meet ever-growing client needs.”
Founded in 1936 in Moray, Johnston Carmichael has grown to become the largest independent firm of chartered accountants and business advisers in Scotland. The firm employs around 700 staff and partners at 11 locations including Inverurie, Fraserburgh, Inverness and Elgin.
Mr Manson added: “It continues to be a difficult time in the market in our traditional heartlands in the north-east. But I do sense there is more confidence appearing with a firmer oil price and increasing use of new technology.”
He hailed the contribution being made by the Aberdeen-based Oil and Gas Innovation Centre and also predicted a positive impact on the area’s economy from the completion of the city’s Western Peripheral Route.
Johnston Carmichael has grown its international work through its membership of PKF, a group of legally independent member firms operating in 150 countries.
Major appointments across the 2016-17 year included additions to its corporate finance and restructuring teams as well as a number of tax specialist positions, including a new head of entrepreneurial tax.
The business has also invested substantially in technologies to deliver its services, including the use of data analytics in audit work and cloud technology in its SME-focused offering.
Mr Manson said the company would keep investing and innovating in all areas of its business in the year ahead to ensure it continues to “play a leading role in the sector and contribute to Scotland’s economy and communities.”
ENCOURAGED: Chief executive Sandy Manson senses new confidence in the north-east with a firmer oil price and increasing technology use