The Ellon-based group, which employs around 210 staff as well as a number of apprentices, said “market conditions” were to blame for the decision to cut at least 20 jobs.

Most recent accounts filed by the company, covering the 2015 year to April 30, show operating profits dipped almost 24 per cent to £3.96 million on a 2.3 per cent decline in sales to £41.04m.

The company’s bottom line was largely hit by a £3.2m write down on the acquisition of the loss-making Webster Group of companies, it said. But in the same year it cut its net debt bill almost in half to £11.8m and grew gross profit margins slightly.

Managing director Martin Bruce said the decision to undertake the staff review was not taken lightly.

He said: “Whilst the exact number of potential redundancies is not yet known, it is not expected that this will exceed 20.

“It is expected that the property market will eventually adjust itself. However, in the meantime, trading levels in the north east are reduced, therefore it is necessary to conduct this review.”