Morrison Construction boss Ken Gillespie said yesterday the firm could reap benefits from a downturn in the north-east oil and gas industry.
He told the Press and Journal there were practicalities of doing business in the region which could make it easier for Morrison – part of UK building giant Galliford Try – to win more public sector work after the recent slump in oil prices.
Mr Galliford, chief executive of Galliford Try’s construction division, including Morrison, added: “A year ago I would be telling you how we could not get a hotel room or people in Aberdeen.
“But we have seen a huge change and it is now a much better environment for us to push on with our work.
“It helps is with some of the public sector work we’ve got going on.”
He was speaking after Middlesex-based Galliford Try announced record first half results.
Its housebuilding operation south of the border enjoyed strong demand, helping group pre-tax profits soar by 21% to £45.9million in the six months to December 31.
The year-on-year growth, allowing the company to reward shareholders with a near 50% dividend increase, was achieved on a 35% rise in revenue to just over £1billion.
The group’s construction division had a record order book of £3.25billion at the end of 2014, up from £1.25billion on June 30, while net debt fell to £35.9million from £85.9million over the same period.
Chairman Greg Fitzgerald said the group was making good progress with the search for a new chief executive.
Mr Fitzgerald, who joined the business more than 30 years ago as a 17-year-old tea boy, recently stepped down as CEO. He has stayed on as executive chairman despite announcing plans to retire no later than the end of 2015.
Morrison has delivered more than £1billion of public and private sector projects throughout Scotland over the past five years.
It is part of the Connect Roads consortium building the 28-mile, £745million Aberdeen bypass, alongside Balfour Beatty and Carillion.
Morrison is also involved in the £790million Queensferry Crossing project to replace the existing Forth Road Bridge.
Other work includes the £48.5million contract for Hub North Scotland at Wick Campus, which is due to be completed in September 2016 and will replace the existing Wick High School, Newton Park Primary School, South Primary School and Pulteneytown Academy Primary School. The new development will also replace Wick’s existing public swimming pool and library facilities.