6717 Bentleys Annual Review 2013.qxp_Layout 1 11/04/2014 12:34 Page 1 JN Bentley Annual Review 2013 6717 Bentleys Annual Review 2013.qxp_Layout 1 09/04/2014 12:50 Page 2 Managing Director’s 2013 has been another challenging year for the View business yet we have still managed to deliver the financial results we anticipated. We remain committed to our Health and Safety Strategy, which Through 2013 we have maintained our continues to improve our performance towards our revenue performance with the water frameworks for Anglian Water, target of zero injuries, and we are seeing the Northumbrian Water, Severn Trent Water, benefits of our Cost and Efficiency Strategy as United Utilities and Yorkshire Water. We are in a privileged position with these people around the company become more customers and we should always engaged. These combined have put us in a strong remember how important they are to the business. Working with them provides us position as we continue with the bidding for AMP6 with some fantastic work to be involved in contracts in the water industry. that is not only challenging but has variety and gives us an ability to share our experiences across the frameworks. To do this we will need to make importance of you – our people – work incremental improvements, ensure we are together and are critical to the aspirations When we are at our best we create a team familiar with our systems and processes of the company and all of our futures that is not only interdependent but cares and embrace the opportunity audits together. about each other, the customer, the provide to drive real improvement. environment and the work they are In 2013 we were able to deliver over 2,500 undertaking. This has been exemplified Our safety performance has again training outputs, with 1,200 of these on many sites but especially at both remained stable with improved reporting outputs delivered through in-house Strongford and the Covenham to Boston from everyone both in the office and on training. We continue our commitment to pipeline. On these sites it has been clear site, and from our suppliers. I was very develop our people through programmes to me we have had great engagement pleased to see a significant drop in the such as our apprenticeships and the civil from everyone, including suppliers and number of serious near misses but there engineering development scheme, which subcontractors, supporting a happy was a slight increase in reportable injuries is now in its second year. environment with people enjoying their to our people, with three in total. This goes 2013 saw the company pick up a number work. as a timely reminder that we cannot of awards and accolades from across become complacent and everyone needs Outside the water market we continue to the industry. The ICE, CECA, Yorkshire to maintain their commitment to working enjoy success particularly with the Coal Water, Northumbrian Water and Business towards our vision of creating a workplace Authority, National Grid and schemes with in the Community all recognised our with zero injuries. Procter & Gamble in London. Our work achievements – just reward for everyone’s with the Environment Agency on a national Our environmental reporting saw another efforts. Many of these successes are Water and Environmental Management large increase in 2013, which was very featured in the upcoming pages of the framework is starting to deliver revenue encouraging and demonstrates improved Review. growth and opportunity. awareness. We all need to face up to the I would like to thank everyone for their challenge of how we reduce our impact As we look to the future we need to ensure involvement and hard work delivering the on the environment, which will be a key we understand the pressures that all our results we have seen. I hope you enjoy the measure for all our stakeholders. customers face, and rise to the challenges Review and it makes you feel proud to be together with them and their other In November last year we held the part of the company. partners. With the great people we have I company seminar at Doncaster. I thought Paul Bentley am confident that we will meet these that it was a fantastic event with a number Managing Director challenges by continually looking for of key messages for us all to think about. clever, innovative, more efficient and cost The seminar gave us the chance to reflect effective ways of working in all areas of on how cost and efficiency, health and our business. safety, procedural compliance and the 02 Annual Review 2013 6717 Bentleys Annual Review 2013.qxp_Layout 1 09/04/2014 13:54 Page 3 Commercial Energy Environment 2013 Highways Turnover Others Property Development Utilities Waste Water and Wastewater 2013 was a year of consolidation and progress. Consolidation through Financial strong delivery on our key frameworks in water and wastewater, building upon our hard earned reputation for Review collaboration and on time outputs. Progress through the addition of JN Bentley was once again in the fortunate The year saw the commencement of the further long term framework position of being able to be selective in its AMP6 procurement process for the arrangements, in particular, with the bidding efforts as a result of enjoying a majority of the UK water sector. It is Environment Agency on a national relatively full order book for the whole year. particularly pleasing to report that JN Water and Environment Management Whilst there are tentative signs of Bentley has, through its subsidiary, Mott framework, which is already starting to improvement, the construction sector MacDonald Bentley (MMB), secured further deliver revenue growth and remains under some strain with insolvency long term arrangements with both opportunity. In order to facilitate the levels remaining above the long run Yorkshire Water and Severn Trent Water. delivery of this work, we have formed a average. We remain committed to We remain well placed for further new joint venture, JBA Bentley, with sustainable relationships with our clients, framework awards with other major UK leading specialist environmental suppliers and subcontractors. water companies too. consultancy Jeremy Benn Associates. I have been fortunate to visit a number of The balance sheet remains strong with no In the fourth year of our water company our sites during the year and have been reliance upon external funding. The AMP5 frameworks, we saw consistent consistently impressed with the levels of company continues to invest in the activity levels with all of our principal water commitment and teamwork shown by our infrastructure of its businesses; these company partners. In Yorkshire Water, we site teams, exemplified by their desire to investments included additions to (and completed large schemes at Rivelin and do the best job that they can. I would like to renewals of) the plant and equipment fleet, Bramley, and within the Severn Trent Water personally thank the teams at Rushmoor, along with a further investment in e5 Major Projects Programme a number of Strongford, Worksop, Oswestry and commercial vehicles, including a number large schemes are nearing completion. In Blackburn for their collective efforts. of bespoke welfare vans, which increase the Anglian Water region we completed a our flexibility and reduce costs and We anticipate that the year-end accounts 60km pipeline, and we also enjoyed a environmental impact by reducing the for 2013 (once verified) will record a strong year with Northumbrian Water, need for welfare cabins on some sites. turnover of £119 million, which is a broadly delivering works both in the North East and We are currently evaluating replacements similar level of activity to that recorded in the South East, the latter via our framework to our core business IT systems to further 2012. Monthly turnover in 2013 was very with Essex & Suffolk Water. future proof our delivery capability. We consistent, at around £10 million, and this expect the delivery phase to commence in During the second half of the year, we were consistency helped with planning, the second half of 2014. awarded a contract with United Utilities to programming and labour and staff enhance security at their treatment works, utilisation, the benefits of which will be Our Cost & Efficiency Strategy delivered setting up co-located offices in Skelmersdale seen in the direct margin performance in some significant savings in the year and to facilitate this new work, which will be a the year. Looking forward into 2014, we contributed to awareness throughout the significant volume driver in 2014. expect turnover levels to be slightly higher, company. It remains our core belief that at around £125 million, with the addition of safety and efficiency are mutual objectives, Outside of the water industry we continue work via the Environment Agency both being fundamental to the sustainable to enjoy a small number of successful framework and some recently-won larger future of the company and the long-term relationships, particularly with the Coal schemes. job security of our people. Authority, National Grid and Procter & Gamble. Andrew Davies Finance Director www.jnbentley.co.uk 03 6717 Bentleys Annual Review 2013.qxp_Layout 1 09/04/2014 12:50 Page 4 The nature of our work as a civil engineering and construction company means that we enter new environments and communities every day. We recognise that we have a responsibility to contribute positively to the people and places we work with. In 2013 we defined our purpose as • Our Customers and Community Engineering is at the core of the Engineering Sustainable Outcomes, by safely delivering best value, service that we provide to our using four categories or ‘strands’ to innovative, sustainable solutions and customers. help explain this.