Just over one in ten of companies in the UK security services sector have recorded a loss for the second consecutive year. That’s according to a new report looking into the profitability of the UK security services market.
The report – by market analysts Plimsoll Publishing – states 171 of the UK’s largest security service companies made a second consecutive loss as average profit margins in the industry are at 3 per cent. Of the 1329 companies analysed, further findings include:
393 firms recorded a loss
171 companies have made loss for the second consecutive year
93 of the businesses that made a loss increased sales
252 companies have been rated as danger
David Pattison, senior analyst on the project, said: “Profitability is key to a company’s success. The difficulty for any business working in a very competitive market is to make a good profit. It would appear the pressure in the market is having an impact on the ability of some companies to make a profit. It is of course down to the individual company as to how much profit can be realistically made, but the consequences of not delivering a profit at first glance would seem apparent: 252 are firms are now rated as now being at high financial risk.
“For the companies that are falling behind, they need to re-evaluate their strategy and retain profit in order to improve their financial strength. Further to that, however, it appears there is some cause for optimism as the report showcases 638 firms as “exceptional” performers. These firms, despite the pressure in the market, have recorded record profits and sales increases. The report uses these as example companies of the success that can be achieved even in a saturated market place.”
How to buy
The Plimsoll Analysis has individually analysed each of the UK’s top Security Services, based on their latest financial performance. Copies of the report are available by calling Plimsoll Publishing Ltd on 01642 626 419 or emailing [email protected].
