Sureserve Group Plc (LON:SUR) said it is well-positioned for further organic growth in a fragmented and regional market and expects continued strong trading throughout the year.
The compliance and energy services company said it has entered the second half of the financial year ahead of previous management expectations.
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It expects, with £371.6mln order book providing visibility of earnings, to report further profitable growth during 2021.
In fact, 99% of full-year estimated revenue is covered by the order book, providing visibility of non-volatile revenue streams.
Sureserve added that it is strategically positioned to deliver clear growth in its Gas businesses while Energy Services will be at the forefront of the energy transition in the UK.
In the six months to 31 March, revenue rose 5% to £114mln with profit before tax up 71.5% to £4.4mln.
Net cash excluding lease liabilities increased to £9.7mln from a £3.5mln debt position a year ago.
“Our half year performance provides a solid base from which our highly experienced team can grow the business,” said interim chairman Robert Legget.
“Although the immediate future still remains uncertain due to the pandemic, Sureserve has a substantial order book providing good levels of visibility of earnings, an established business model of recurrent revenues from our public sector client base and a strong balance sheet to support both organic and inorganic growth opportunities. We therefore are cautiously optimistic about the future.”