Building firm in good shape
Kier reports robust growth across all divisions
Order books are Kier are in good shape
Kier Group, the construction company, has reported a healthy order book and a confident outlook based on increased government spending in schools, hospitals, bioscience and aviation.
The company announced a 9% rise in pre-tax profit to £137 million on a 5% rise in revenue to £4.5 billion for the year to the end of June.
Chief executive Haydn Mursell, said: “I am pleased to report a good set of results with all divisions performing well.
“We have launched the Future Proofing Kier programme which will streamline the business thereby enabling us to deliver a more efficient service to clients, respond to changes in our markets and capitalise on growth opportunities, whilst, importantly, also accelerating the reduction of the Group’s net debt position.
“Our strong market-leading positions, our record £10.2bn Construction and Services order books, and our £3.5bn property development and residential pipelines, will see the group deliver on its Vision 2020 targets.
“In addition, the Future Proofing Kier programme positions the Group well for an improvement in operating margins and higher cash generation, culminating in a net cash position for FY21.”
The board is recommending a full-year dividend of 69p per share (2017: 67.5p), up 2%.
A strong performance from Kier Construction Scotland, which employs over 220 people from its offices in Glasgow, Aberdeen, Inverness and Newcastle, has supported this latest set of results.
Brian McQuade, managing director of Kier Construction Scotland, said: “In Scotland, Kier has secured a solid stream of new business wins.”