Substantial growth for city-based fish farm supplier
PRE-tax profit increased by almost £1.2 million for Inverness-based Gael Force Group last year.
The firm - which is involved in a range of activities including the provision of commercial marine and fish farm supplies, and service engineering to the distillery and aquaculture sectors - also saw turnover grow by nearly £7 million in the year ended December 31, 2017 compared to the previous 12 months.
A strategic report accompanying the business's latest accounts stated: "2017 saw strong Ossetia the broad, with turnover up 41 per cent on 2016.
"Growth was centred on the aquaculture sector through the supply and rental of equipment, technology and services.
"Margins were however reduced, which may have been a contributing factor to the substantial growth."
Turnover increased from £17,193,353 in 2016 to £24,161,720 last year.
For the same period, pre-tax profit moved to £1,627,359 from £439,083.
The report added: "The main risk to the trading group as a whole is a serious downturn in the Scottish aquaculture industry or loss of, or financial failure of, a major customer within that sector.
"Within the group each business unit is working to a detailed business plan which seeks to achieve continuing growth within a long-term strategy for the group as a whole.
"Each annual plan sets clear financial and other key targets and objectives for the business, which are monitored and managed continuously. A high priority continues to be managing working capital and improving free cash flow for ongoing investment in growth.
""In implementing the strategy and in pursuit of a position of market leadership, the group is actively extending capability and reach through substantial investment in innovative new product and service development as well as acquisition."
Following the year-end, in April 2018, the business purchased controlling stake in fish farm pen manufacturer Fusion Marine. It acquired the remaining 25 per cent of Gael Force Marine Technology, which it did not own, the following month.
The reported stated: "The directors see considerable potential for long-term growth in the group's key markets and will continue to target resources on those opportunities which deliver the best long-term growth."
The firm's average number of employees increased from 153 in 2016 to 161 last year, while staff costs rose from £3,890,447 to £4,635,565.