Connaught to lose CEO and finance chief
THE CHIEF executive and financial director of Connaught resigned yesterday, in another blow to the troubled social housing group.
Mark Tincknell, who has been chief executive for six months, stood down immediately to recover from health issues, but will remain with the company.
Tincknell will assist chairman Sir Roy Gardner to find a successor, and the firm has appointed head of compliance Ian Carlisle to act as interim chief executive.
Gardner has also initiated an independent review of the group’s accounting policy, following a surprise profit warning last month that led to Connaught shares shedding two-thirds of their value.
“The firm has been using the same accounting practice for long-term contracts for ten years on the advice of its accountants, but critics would say it does not give shareholders the clarity they want, so that’s why the review is happening,” said a company spokesperson.
Financial director Stephen Hill will leave Connaught in October after four years with the company.
Gardner said the outlook for Connaught nevertheless remains positive. “The cost reduction programme will realise significant savings whilst providing a solid platform from which we can achieve further growth,” he said.
Analysts were less hopeful about the firm’s future. Oriel Securities told its clients: “This all leaves the group in limbo. We’d be inclined to stay on the sidelines until we have better clarity of precisely what is under there.”
FAST FACTS | CONNAUGHT
The social housing maintenance firm started trading in 1982 as a concrete repair company.
Its current order book stands at £2.6bn, though the firm said last month revenues would fall by £80m following public sector cuts.