Balfour Beatty has recorded a rise in first-half revenue, driven primarily by its UK Construction segment.
The company generated revenues of £5.15bn ($6.99bn) for the half-year (H1) ended 27 June, up from £4.68bn in the same period last year.
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Profit from earnings-based businesses increased to £108m, up 7% from £101m in H1 2024.
However, group underlying profit from operations remained flat at £77m, with the Infrastructure Investments division recording a £10m loss, compared to a £7m loss in the prior year.
Underlying earnings per share (EPS) fell to 14.4p from 15.3p while basic EPS rose to 19.8p from 18.1p.
The company’s interim dividend saw an 11% increase, reaching 4.2p per share.
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By GlobalDataThe group’s order book expanded to £19.5bn, up from £16.6bn in H1 2024. Balfour Beatty also noted a ten-year pipeline of approximately £20bn in addition to its order book, including significant projects such as Sizewell C and power transmission schemes.
The UK Construction division delivered a strong performance, with operating profit rising to £56m from £34m a year earlier, on revenue of £1.56bn compared to £1.46bn in H1 2024.
This resulted in a profit margin of 3.6%, up from 2.3% in the prior year, achieving the company’s benchmark a year ahead of expectations.
The Support Services division also contributed positively, with revenue soaring by 19% to £662m year-on-year and operating profit rising 35% to £46m.
However, the US construction arm reported a £11m loss on £2.09bn in revenue, primarily due to cost overruns on a single Civils project, which offset a strong performance in the Buildings segment.
Looking forward, Balfour Beatty stated it is poised to meet full-year expectations for 2025 and anticipates further growth in 2026.
The company expects an increase in underlying profit from operations from its earnings-based businesses in 2025, with growth in the UK Construction and Support Services segments offsetting lower profits from the US Construction division.
