RISING profits of more than 90 per cent have been reported at York attraction creator Paragon Entertainment after a year spent investing in capacity for the future.
The Elvington-based business, which designs, produces and fits out attractions for theme parks and museums around the world, grew revenues by 70 per cent to £14.4 million last year.
In its latest financial results, for the year ending December 31, 2016, the firm reports a 91% rise in gross profits to £3.76 million, and delivered EBITDA (earnings before income tax, depreciation and amortisation) of £1.19 million, up form £240,000 the year before.
During the 12 month period the group completed work on major projects overseas including Kung Fu Panda, Madagascar and Little Explorers attractions in the Middle East, as well as Coronation Street, Fountains Abbey and Rolling Stone exhibits in the UK.
Mary Taylor, executive chairman at Paragon Entertainment said: “We achieved two notable strategic aims in 2016: first, we achieved solid growth in revenue, EBITDA and normalised earnings, and second, we took the opportunity to invest in building capacity for the future.
“In previous years, the growth in revenue would have placed enormous stress on the business but by anticipating this and investing in building long-term capacity, some of which we had previously neglected, we were able to manage the growth well.
“We have strengthened our management team, including appointing a new CEO, John Dobson, and freeing up the founder, Mark Pyrah, to continue to drive growth in the business.
“We also made several other new appointments to complement the high quality of existing skills in our team. We have invested in HR, technology and IT infrastructure, and re-configured our premises for the additions to the team.
“The numbers speak for themselves: in short, we have continued to do what we said we would do, and we remain excited about the future.”
In 2016 Paragon competed for, won and executed projects valued at £2.5 million on behalf of new clients, with the remaining £11.9 million of revenue being repeat business from existing partners. Its work for the year was split geographically with 17 per cent UK, 5 per cent from Europe, 75 per cent in the Middle East and North Africa and 3 per cent rest of the world.
The group said it expects that in 2017 £7 million of its turnover will come from repeat partnership business, and that it looks to grown its work in the UK, Europe and China.
Current projects being undertaken by Paragon include attractions themed on the films Cloudy with a Chance of Meatballs and Hunger Games, Sabic Life Galleries, and the Sheikh Abdullah Al Salem Cultural Centre in the Middle East
In the UK the group is working on Manchester and Cheshire fire safety centres as well as other products for family entertainment centres.