Emcor pulls out of rail sector after losses

M&E contractor Emcor has quit the rail sector after heavy losses in the division. Accounts filed at Companies House show that the company made a pre-tax loss of £12.3m at its rail business on turnover of £42.3m in the year to December 2007.

The rail business pushed the group into the red last year, reporting an overall loss of £6.1m, down from £4.3m pre-tax profit the previous year. Group turnover fell 4% to £378.6m.

Without the rail division, Emcor's contracting and facilities businesses would have recorded a pre-tax profit of £6.2m on turnover of £336.4m.

The firm said it took a decision towards the end of last year to stop bidding for work in the rail market, in which it has previously worked on flagship UK rail schemes including the Channel Tunnel Rail Link and the Jubilee Line Extension.