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Mclcreate files near £4 million loss

Turnover at the firm also fell from £14.1m in 2015 to £10.9m in 2016
29/03/2017

Pictured: mclcreate made a £3.9m loss last year

Event management company mclcreate made a pre-tax loss of almost £4 million in 2016.

A loss of £431k in 2015 turned into a loss of £3.9m for the year ended 30 September 2016 according to accounts filed at Companies House.

Turnover at the firm also fell from £14.1m in 2015 to £10.9m in 2016. Of this figure, £10.5m of sales were generated in the UK, compared to £282k in the rest of Europe, £118k in the US and £5k in the rest of the world.

In the strategic report, director John Christmas, who has since left the board, said: “The loss before tax during the year was due to the impairment of a loan due from a group undertaking.”

He added that the company has transitioned to using the Financial Reporting Standard 101: Reduced Disclosure Framework and has taken advantage of the disclosure exemptions allowed under this standard.

He said: “The company’s parent undertaking, Avesco Group Limited, was notified of and did not object to the use of the EU adopted IFRS disclosure exemptions.”

Christmas left the board of directors in February, on the same day that Gerald Delon and Mark Wilson were appointed to the board.

The agency, part of the Avesco Group, has bases in London, Birmingham, Glasgow, Edinburgh and Manchester. It underwent a transition from AV specialist to full service provider in 2014 and launched its event management division soon after.

The company attributed its pre-tax loss of £447k in 2015 to group charges and exceptional items. In August 2016 it introduced a new engagement division in the next stage of its transition to a complete service provider, relocating its Edinburgh base to a 1,500 sqm facility after taking on 14 new recruits.

Average staff numbers fell by three (from 128 to 125 members of staff) during the reporting period, as payroll costs went down from £5.4m to £5m.


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