Manchester-based Β£41m-turnover firm β€˜highly likely’ to enter administration

Empty warehouse administration closure redundancy factory

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Manchester-based Ocon Construction has filed a notice of intention to appoint an administrator.

In a statement the Β£41m-turnover contractor said: β€œThis is highly likely to progress into administration with trading not resuming.”

The firm is currently consulting with employees regarding the situation.

Ocon recorded a Β£1.4m pre-tax loss in its last full year results to 30 September 2012, which it attributed to β€œthe cost of recovering project delays, to ensure delivery dates were achieved, compounded by the insolvency of key subcontractors at critical times”.

The previous year it made a Β£2.8m pre-tax profit. Ocon’s turnover also fell 22% to Β£41.2m, down from Β£55m.

The firm said it had secured Β£42.3m of turnover for the 2013 financial year.