Pimlico Plumbers, the UK’s largest independent home services company, delivered an increase in its pre-tax profits in its latest financial year, defying the potential impact of the early months of the coronavirus pandemic.
The central London-based company achieved turnover of £43.27 million for the 12 months to 31 May 2020. This is compared to £44.84 million reached during its previous financial year.
However, only seeing a minor fall in the total yearly turnover demonstrates the progress Pimlico was making prior to the Covid-19 emergency, with the majority of lost revenue (£2million) occurring during the first national lockdown in April and May, when compared to 2019.
Therefore, without the pandemic, Pimlico was on course to achieve record turnover in excess of £46 million.
Pimlico maintained similar levels of profit for its 2019-20 financial year. Pre-tax profit rose to £4.95 million, up from £4.7m in 2019 with profit after tax £3.85 million compared to £3.86m the year before.
The company also increased its gross profit to sales percentage from 38.08% to 38.8% driven by increased efficiencies.
Maintaining its financial performance in the event of a pandemic highlights the rapid and agile response of the company in the early stages of the global emergency.
Having quickly implemented new and stringent health, safety and wellbeing procedures in the weeks before the announced lockdown was announced, Pimlico was able to continue its operations as an essential service.
Measures introduced at its headquarters in Lambeth and for its 320 engineers and tradespeople working across the capital, enabled the company to support its customers throughout the lockdown.
As a result, since 23 March the company has completed more than 200,000 home visits, which have all been completed with strict measures in place to keep engineers and customers safe.
Its head office, which contains a large call handling centre, accounting and customer services function, remained open throughout the lockdown with staff provided with free food and refreshments, free parking and a bonus scheme for those who worked from the office.
Charlie Mullins OBE, founder and chairman of Pimlico Plumbers, said:
“No business has been immune to the effects of the coronavirus pandemic, but we have worked incredibly hard to find ways to work around it while keeping our people and our customers safe, which has delivered positive financial results.
“Reaching numbers close to 2019’s results, based on the state of the economy and the restrictions and lockdowns we have had to deal with, is quite an achievement. We were on course for our best year ever, but rather than dwell on the ‘if’s and maybes’, we should actually hold up this year as proof that fleet of foot entrepreneurial businesses can overcome big challenges.
“I am also confident that the changes we made at the start of the pandemic will have a positive impact on our current financial year. We have benefited from customers investing the money they would have spent on holidays in their homes while also giving those booking either planned work or emergency call outs the confidence they can safely welcome our engineers into their homes and businesses. There’s no better example of this than a record we set this month for home visits on a Monday, recording 600 compared to 500 set in March 2018.”