Balfour Beatty advantages from UK building enterprise
P
rofits at Balfour Beatty held kind of regular within the six months to the tip of June, and the corporate stated it’s on observe to ship its full-year targets.
The infrastructure group was helped by its building unit within the UK, however stated there have been delays to some tasks, particularly in US workplace areas.
Pre-tax revenue dipped from £83 million to £82 million, the enterprise revealed on Wednesday.
Balfour Beatty stated that all through the interval it made progress on its work on the new Hinkley Point C nuclear web site in Somerset.
It additionally stated it has accomplished a second mile-long tunnel beneath an historic Warwickshire wooden for the HS2 high-speed railway line – the fruits of a three-year operation.
It added that deliberate delays to HS2 due to the Government holding again on funding is not going to have any materials impact on its forecasts.
The firm stated income from its UK building enterprise elevated 22.5% to a little bit over £1.5 billion, whereas income at its US building arm dipped barely to £1.7 billion.
Overall income rose 9.1% to £4.5 billion; nonetheless, the order guide shrank from £17.4 billion to £16.4 billion.
Balfour Beatty stated the discount within the order guide was as a consequence of progress it made on main tasks within the UK and Hong Kong and delays to US industrial workplace tasks.
The delays got here as rates of interest elevated, inflicting some prospects to “wait for economic stability”, it stated.
Chief govt Leo Quinn stated: “We continue to deliver from the scale and breadth of our lower risk order book, which, during this period of high inflation and interest rates, underpins the financial results reported today and our expectations for the full year.
“Looking beyond 2023, we have positioned Balfour Beatty strongly with unique capabilities and a sector-leading balance sheet, to capitalise on national plans to transform critical infrastructure, particularly in the energy and transport markets.
“This provides the board with confidence in both profitable managed growth and in our capacity to deliver significant future shareholder returns.”