Administrators have been appointed at M&E specialist MVS Group, only seven months after the company opened a Manchester office to win work in the North West.
The group, headquartered in the West Midlands, saw its mechanical services arm enter administration on 15 December last year. The parent company MVS Group has now followed its subsidiary into administration, with Duff & Phelps appointed on 21 December.
The group’s most recent accounts, covering the year to 31 August 2017, noted that three large contracts suffered from a delay in starting, reducing the group’s sales by around £3m, and profits by around £500,000.
The company reported a turnover of £16m and a pre-tax profit of £824,000 for the year. It also owed its creditors £1.7m, and reported cash at bank and in hand of £190,000.
MVS Group also reported an order book of £26.6m for its 2017/18 financial year, and expected its turnover to rise above £25m. It also said it would be looking to complete “at least one” acquisition in its next financial year.
MVS Group opened its first office in Manchester in May last year, hiring Ben Cohen as regional manager from Torsion Group. It is understood that the majority of the group’s 38 staff have been made redundant following the group’s collapse.
David Massey is listed as sole director of MVS Group, according to Companies House. MVS Group has been contacted for comment.