Results for the year to June 30 2012 were described as “deeply disappointing” as pre-tax profit fell to £400,000 from £5.4m last time on turnover up to £110.6m from £106.8m.

The results were a tale of two divisions with improved results at the building products business wiped-out by a poor performance on the engineering products side.

Building products revenues were up 5% to £74.9m with operating profit up 12% to £4.4m, despite a decline in UK construction activity, reflecting growth in export, roofing & walling, and construction product sales.

The engineering side slumped to a loss of £800,000 from £3m profit last time and is now being restructured.

Chairman John McCall is confident the building side of the business will continue to perform strongly this year.

He said: “Despite the severe and much publicised decline in construction activity in the UK, our Building Products companies posted underlying operating profits 12% ahead of the prior year at £4.4 million.

“This advance should accelerate in the current year, in contrast to the weakness in our markets, given the major projects already won and announced.”