PM Group, the Tallaght-headquartered international construction project delivery company, has noted a slowdown of foreign direct investment (FDI) in Ireland this year following a wave of activity over the past seven years, according to its chief executive.
Anthony O’Rourke said that uncertainty over international trade tariffs “did not help with regard to investment decisions”, adding that the trade deal the Trump administration stuck with the EU in late July has been a “really positive” development.
“There’s definitely been a slowing down in Ireland,” said Mr O’Rourke, whose PM Group is particularly exposed to construction projects in the life sciences sector. “That is something we’d been expecting for a few years. But every time we thought [investment] was going to taper off the following year, it just kept going.”
He said there continues to be “a significant amount” of investment in Ireland, with many of the projects being upgrades of facilities that have been in place for many years, and also sustainability projects.
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While PM Group’s Irish professional services fees have “flattened” this year, they continue to grow internationally, group chief financial officer Rosita Fennell said. This is particularly the case in its fast-growing US operation, which is benefiting from a trend of US companies bringing manufacturing activities back to their home market.
The group’s exposure to that data centre boom is also helping, she said.
The UK market continues to be impacted by Brexit and economic uncertainty resulting in limited investment by multinational clients. Notwithstanding these challenges, PM Group’s UK team supported the delivery of projects overseas, mainly in western Europe, during the year, the group said.
PM Group’s overall revenues fell to €494 million last year from €566 million in 2023, it said. This was driven by a decline in “through revenue”, where it carries equipment and contract costs on behalf of clients. Underlying professional services fees rose 5 per cent to an undisclosed amount.
The Irish operation accounted for over 60 per cent of PM Group’s activity last year. PM Group’s operating profit rose 2.7 per cent to €34.8 million in 2024.
The group employs about 3,800 people across Europe, North America and Asia – almost 40 per cent of whom are shareholders in the business. It aims to increase that to about 4,400 over the lifetime of a new strategic plan, to 2029, Mr O’Rourke said. It is also targeting revenues of €750 million by then.
Key Irish projects the group has worked on recently include an expansion by drugmaker Eli Lilly of its operations in Limerick, work with another pharma giant, Bristol Myers Squibb, in Dublin, and an expansion of Irish Distillers’ facility in Midleton, Co Cork.
The group’s net assets “remained strong” at €164 million, underpinned by minimal debt, which reinforces the group’s capacity to invest and grow, PM Group said.
