TIDMGFRD
RNS Number : 3942S
Galliford Try Holdings PLC
14 July 2022
GALLIFORD TRY HOLDINGS PLC TRADING UPDATE
THURSDAY 14 JULY 2022
GOOD OPERATIONAL PROGRESS: CONFIDENT OUTLOOK
Galliford Try Holdings plc, the UK construction group, today
provides an update on trading for the year ended 30 June 2022. The
Group expects to announce its results for the full year on 21
September 2022.
Highlights
-- Continued strong performance across operations resulting in
increased revenue, pre-exceptional profit and operating margin.
-- Full year pre-exceptional profit before tax expected to be at
the upper end of current analyst forecasts (1) .
-- Continued encouraging progress against our margin improvement target.
-- Balance sheet strength, with circa GBP218m of cash at 30 June
2022 (2021: GBP216m) and average month-end cash during the
financial year of circa GBP174m (2021: GBP164m).
-- Successfully implementing our Sustainable Growth Strategy,
including the integration of nmcn's water businesses.
-- Confident outlook, with a high-quality order book of GBP3.4bn
(2021: GBP3.3bn) and strong pipeline of future orders. 90% of
revenue for the new financial year secured (2021: 90%).
(1) The range of analysts' forecasts for pre-exceptional profit
before tax for the year ending 30 June 2022 is GBP16.4m to GBP18.0m
based on forecasts at 1 July 2022. Exceptional items for the year
ending 30 June 2022 will relate to the acquisition of the water
business of nmcn, and our investment in cloud-based computer
software (as described in our half year results to 31 December
2021).
Current Trading
The Group's enlarged operations, following the acquisition of
the water business of nmcn in October 2021, continue to make good
operational progress in line with our Sustainable Growth
Strategy.
We are actively maintaining close engagement with our supply
chain and clients and, through careful management, we have
successfully mitigated the risks of material shortages and
inflation, without any overall impact on our financial performance.
Our strategy and continuing investment in modern construction
practices, digitalisation and off-site build, ensures a high
quality service for our customers as well as helping further
improve our operational performance.
On 11 July we announced our acquisition of the systems
integrator and motor control centre manufacturer, MCS Control
Systems Limited, adding to our environment business and advancing
our Sustainable Growth Strategy.
The Group expects to report full year pre-exceptional profit
before tax at the upper end of current analyst forecasts. (1)
Balance Sheet
The average month-end cash for the financial year to 30 June
2022 was circa GBP174m and, in addition, the Group has a portfolio
of PPP assets, no pensions liabilities and no debt or associated
covenants. During the year, the Group has invested in the
acquisition of the water operations of nmcn PLC and in the
strategic upgrade of our financial and commercial systems. The
Group's success in securing high quality contracts and
participation in key sector frameworks is supported by our strong
balance sheet, which is a real differentiator for our clients and
suppliers.
Order Book
The majority of the Group's operations are in the public and
regulated sectors and accordingly we remain well placed to deliver
on local and national commitments to improve the UK's economic and
social infrastructure and continue to see a strong pipeline of new
opportunities across our chosen sectors.
In accordance with our strategy, we continue to prioritise our
disciplined approach to bidding and overall risk management.
Since January 2022 we have been successful in winning a number
of key projects and participation on major frameworks, with project
successes in our GBP3.4bn order book, including:
- the GBP1.8bn Procure Partnerships North West Framework.
- the GBP1.0bn Midlands Highways Alliance Plus (MHA+) Medium Schemes Framework 4.
- the GBP800m NHS Shared Business Services second generation
Hard FM framework, to deliver Security, Fire
and Hard FM Managed Services.
- the Crown Commercial Service (CCS) and Associated Services
Framework covering projects across the North East, North West, East
of England and South East.
- the CCS Facilities Management and Workplace Services Framework.
- the GBP56m contract to build a private rented sector scheme in Milton Keynes.
- Jackton Primary and Beatlie Campus in Scotland with a combined value of around GBP30m.
Bill Hocking, Chief Executive, commented:
"The Group expects to report strong performance across all its
operations including increased revenue, pre-exceptional profit and
operating margin. We are making good operational progress in line
with our Sustainable Growth Strategy, supporting our financial
targets to 2026.
The Group has maintained its balance sheet strength, an even
more important differentiator for our clients and suppliers in the
current economic environment, as well as a high-quality order book
predominantly in the public and regulated sectors.
I continue to be impressed with, and grateful for, the
professionalism and work ethic of all our people who contributed
and delivered the performance of the Group during the year.
We move into the new financial year with confidence and are well
placed to deliver strong future performance and long-term
sustainable value for all stakeholders."
A conference call for Analysts and Investors will be held at
09:00am BST today, Thursday 14 July 2022:
Dial-in: +44 800 640 6441(Toll Free) or +44 20 3936 2999
Access code: 617247
For further enquiries please contact:
Bill Hocking, Chief Executive
Andrew Duxbury, Finance
Galliford Try Director 01895 855001
Tulchan Communications James Macey White 020 7353 4200
Note to Editors
Galliford Try is a leading UK construction group listed on the
London Stock Exchange. Operating as Galliford Try and Morrison
Construction, the Group carries out building and infrastructure
projects with clients in the public, private and regulated sectors
across the UK.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
TSTBUGDRLXBDGDX
(END) Dow Jones Newswires
July 14, 2022 02:00 ET (06:00 GMT)
Galliford Try (LSE:GFRD)
Historical Stock Chart
From Apr 2024 to May 2024
Galliford Try (LSE:GFRD)
Historical Stock Chart
From May 2023 to May 2024