Galliford Try Holdings PLC (LSE:GFRD), the construction group, said the performance for the 12 months to June 30 beat current market forecasts as it provided an upbeat assessment for the current financial year.
The better-than-anticipated performance was driven by robust delivery across its highways and water businesses.
The company said full-year revenue and adjusted profit before tax would come in slightly above the upper range of current analyst forecasts.
Those estimates range from £1.86 billion to £1.89 billion in revenue and £40.1 million to £41.6 million in adjusted profit before tax.
Galliford Try also expects to see further margin improvement as it advances towards its longer-term target of a 4% operating margin by 2030, up from a previously stated target of 3% in 2026.
Chief Executive Bill Hocking said: “I am delighted that all our operations continued to perform strongly throughout the second half of the year and we expect to report another year of increased revenue and profit in September.”
He highlighted the group’s strong balance sheet, which includes cash of £238 million and no bank debt, as a key factor in securing high-quality contracts and attracting skilled teams.
The company operates primarily in the public and regulated sectors through long-term frameworks and contracts designed to streamline procurement for repeat projects.
Its order book at the end of June stood at £4.1 billion, up from £3.8 billion a year earlier, providing strong visibility of work over the coming years. Notably, 90 per cent of expected revenue for the new financial year is already secured.
Recent contract wins include a £1 billion highways framework with the North East Procurement Organisation, a £66.5 million bypass project in North Somerset, and a significant £850 million water infrastructure framework with Yorkshire Water