Work in Scotland’s central belt is contributing more than half of the year-on-year growth at north-east accountancy company Johnston Carmichael (JC), its boss said yesterday.
Offices in Edinburgh, Glasgow and Stirling now account for 31% of the overall business, chief executive Sandy Manson added.
He was speaking after JC, which has its headquarters in Aberdeen and other branches in Elgin, Forfar, Fraserburgh, Huntly, Inverness, Inverurie and Perth, announced a near 8% increase in turnover to £39.6million during the year to May 31.
This was accompanied by a modest increase in net profits – before members’ remuneration – to £11.08million, from £10.75million previously.
JC opened an Edinburgh office 13 years ago and another in Glasgow three years later. Stirling was added in 2012.
Mr Manson said the central belt offered strong potential for growth, but he was also seeing good opportunities for new business in the Highlands and Moray.
The firm’s more traditional heartland continued to generate plenty of business in “different shape and forms”, he added.
JC’s home city is suffering the impact of a plunge in oil prices, and Mr Manson said the firm’s office in Europe’s energy capital was seeing changes from that.
There is much more restructuring business than in past years, while the number of corporate finance deals in the Granite City has fallen, he said.
He added: “In Aberdeen, we are going through one of the biggest market corrections I have seen.
“Firms are having to restructure to remain viable. These are challenging conditions.”
Mr Manson said progress in the central belt and other parts of Scotland was likely to continue, adding: “I would expect that direction of travel.
But the firm – founded in Nairn 80 years ago – was still enjoying growth in the north-east, he said.
JC, which employs 650 people across 11 locations, attributed its ongoing success to significant developments in its range of expertise, new technology platforms and the development of its brand.
Mr Manson said: “We take a long-term view of our business and we will continue to invest in all those key areas which will enable our firm to grow its capability and reputation right across Scotland.
“Food and drink, technology and professional services are particular sectors where we have strengthened our capability to meet demand.
“We’ve taken on a record number of graduates and continue to support our staff through training and development. We have also made a number of internal promotions and strategic hires, so our succession plan is in good shape.”
JC Wealth saw its revenue increase by 9%, which the firm said reflected an increase in advisers and related support as well as opportunities arising from auto-enrolment and the new freedom and choices in pensions.