Last Updated 17th February 2023
Thomas Armstrong
Thomas Armstrong is one of the UK”s largest privately-owned contractors and building products manufacturers with operations across northern England. Established in Cockermouth in 1830, today its operations extend across a region from Glasgow to Cheshire.
Headquartered at Flimby, Maryport, in Cumbria, the group has an annual turnover of £141 million and it has a significant workforce, employing around 500 people.
Within this, the group’s £42 million-turnover construction business covers design and build, housing, civil engineering, PFI projects, facilities maintenance, highways and surfacing. The group also has a new housing development business, Washington Homes.
Key projects in recent years have included Buzz Station, Whitehaven, a former bus station in Whitehaven turned into a hub for creative and digital start ups; Pirelli Factory, Carlisle; Lodore Falls Hotel & Spa, Keswick and Barrow Police Station. The firm’s project at Windermere Jetty, Museum of Boats, Steam and Stories won a RIBA North West Building of the Year award for 2021.
Meanwhile, Armstrong has a significant building materials portfolio which accounts for much of its £99 million non-contracting turnover. The materials side has expanded with the acquisition of Yorkshire-based GC Blocks in 2019 and its subsidiary Sellite Blocks.
In the group”s latest annual report published in late June 2022, the directors said they were ”pleased” with the overall results for the year to October 2021. The group’s construction results were hit by an under-recovery of overheads from a reduced turnover but the development side made a ‘useful contribution’ whilst its building products results were ‘much improved’ on the previous year.
However the company also noted that rising costs were beginning to impact the construction market with contracts being delayed and budgets coming under pressure. Profitability was expected to have improved in the year to October 2022 but by less than initially forecast.
Financials
To view the financials for Thomas Armstrong (Holdings) Ltd, visit Companies House and use Company ID 00244751.
Armstrong had a solid year in 2021 despite difficult trading at its construction business. Group turnover rose by 12.5% to £141.3 million in the 52 weeks to 2nd October 2021 and operating profit before exceptionals rose by 20.5% to £17.2 million. Meanwhile, pre-tax profits rose by 35% to £17.2 million. Meanwhile, the group has substantial cash resources; the latest balance sheet shows cash of £62.7 million, up from £60.9 million and net assets of £158.8 million.
Construction
Thomas Armstrong (Construction) ranks as a major regional contractor on building and civil engineering projects with its main based at the group’s hq in Flimby in west Cumbria. It works across Cumbria, Lancashire, the north of England and southern Scotland and its construction projects range from £100,000 to £25 million. The group”s contracting turnover rose to £42.2 million in the year to October 2021, up from £40.3 million previously.
Thomas Armstrong is experienced across a wide range of sectors including nuclear, commercial/industrial, healthcare, leisure, retail, education, private housing, public buildings & works, housing associations, civil engineering & highways.
Around three quarters of the group”s workload is through traditional procurement. It has a wide range of clients from small organisations to multi-nationals and works using both traditional and modern construction methods. David Hill was recently appointed to the board of Thomas Armstrong (Construction) as its new development director.
Key contract awards at Thos. Armstrong in recent years have included The Edge, a £3 million regeneration activities centre project in Whitehaven where work started in late 2021 and which will see the town’s harbour transformed into a community hub.
Earlier, in spring 2021, Thomas Armstrong started work on a new three-screen Ritz Cinema in Workington on the top floor of the town’s John Peel House. The company has also been working on a £1.9 million contract for phase 1 of a revamp of the former Pencil Factory in Keswick.
Meanwhile a development by the group”s Washington Homes development arm which being built by Thomas Armstrong at Tallentire has been shortlisted for an award by The Bricks Site Recognition Award.
Other significant construction clients in recent years have included Center Parcs at Whinfell Forest, Lidl Supermarket. Armstrong was also the main contractor on North Cumbria University Hospitals NHS Trust”s latest phase of redevelopment works at West Cumberland Hospital.
Building Materials
Thomas Armstrong”s portfolio of building materials businesses generated the bulk of the group”s non-contracting a turnover of £99.1 million in 2021, up from £85.2 million previously. The business has been expanded in recent years with the acquisition of Lakeland Concrete Products, based near Penrith and the group has a relatively new £12 million block production satellite unit at Cross Green, Leeds.
The group also has specialist businesses covering aggregates, bespoke joinery, concrete blocks, M&E, paving blocks, prestressed products, renewable energy, timber frame construction, timber products, transport and workwear & tool hire.
Glenigan data
Glenigan data points to a busy workload at Thomas Armstrong. The company was the main contractor on a new £3 million Lidl supermarket store in Carlisle where work completed early in 2023 (Project ID: 15310850). Meanwhile, Thos. Armstrong is a key contractor on the new £3 million Cumbria Coastal Activity Centre at Whitehaven, Outer Harbour where work is set to continue until autumn 2023 (Project ID: 16330709).
Conclusion: Strong brand and market position in the North West
Whilst its contracting arm has faced some tough trading conditions and rising costs may impact its current year results, Thomas Armstrong is well-placed to recover its momentum. The company has a strong brand and market position around its Cumbrian base, and should benefit from its position on frameworks and on public sector work and good links with significant private sector clients such as Lidl. With a good mix of contracts under its belt and the prospect of improved budgets in infrastructure and social housing, the group should prosper as its markets recover.
Winning work with Thomas Armstrong
Thomas Armstrong has a high level of environmental awareness and several of its companies have been awarded the ISO14001 Environmental Management Standard. The company is also ISO 9001:2008 quality assurance-registered and is ISO 14001:2004 environmental-registered. It also holds a number of other certifications and accreditations.
These, together with details on the company’s approach and policies on the environment, health & safety, quality management and equal opportunities can be seen on its website www.thomasarmstrong.co.uk The firm also has experience in delivering projects that meet BREEAM and The Code for Sustainable Homes.
Key contacts:
Steve Smith, Senior Estimator, Thomas Armstrong (Construction) :
Email: steve.smith@thomasarmstrong.co.uk
Tel: 01900 68211
Graeme Elsam, Senior Construction Buyer (Thom Armstrong)
Email: graeme.elsam@thomasarmstrong.co.uk
Tel: 01900 68211