The surge in profits to £8.39 million, from £6.60m in 2015, comes despite sales dipping almost three per cent to £194.4m.

The Linwood-based company said the success was put down to an “increase in profitability on lower activity levels” in construction services and waste management from tighter cost control and “operational efficiencies”.

Profits for the 2016 year are also set against a £2.16 million one-off impairment on the value of land and buildings booked in the previous year’s accounts (2016: nil), calculated by discounting future cash flow over the next 20 years against a constant two per cent growth rate.

The group said its logistics division recorded a “small increase in activity levels” in the 2016 year.

WH Malcolm notes results from the logistics and construction services divisions in the first few months of the current financial year, “are ahead of the same period in the previous year, which augurs well for the remainder of the year”.

The group notes staff numbers rose to 2,031 in the 2016 year to January 31, from 1,860 in 2015, which pushed the wage bill up to £62.7m from £58.7m last year.