The UK construction division of Balfour Beatty has reached its target profitability for the first time. In the half-year ending 27 June 2025, the UK\u2019s underlying operating profit was \u00a356 million (3.6%), compared with \u00a334 million a year earlier. This exceeds the operating margin target of over 3% and occurred a year ahead of plan.<\/p>\n\n\n\n
The support services business also showed growth: underlying operating profit increased by 35%.<\/p>\n\n\n\n
However, the group\u2019s overall profit was constrained: underlying operating profit was \u00a3108 million, only slightly above \u00a3101 million a year earlier. This was due to construction losses in the US, related to delays on a Texas highway project. The company stated that measures are underway to recover these losses.<\/p>\n\n\n\n
Statutory profit before tax for the group was \u00a3132 million (\u00a3112 million a year earlier), and revenue increased to \u00a35.15 billion (\u00a34.68 billion a year earlier).<\/p>\n\n\n\n
CEO Leo Quinn said the company is generating strong cash flows from a growing order book with improved margins and lower-risk contracts. He added that the UK government has confirmed the presence of large infrastructure projects that match the company\u2019s expertise and enhance the quality of the future portfolio.<\/p>\n\n\n\n
At the end of the half-year, Balfour Beatty\u2019s order book stood at \u00a319.5 billion, compared with \u00a316.6 billion a year earlier and \u00a318.4 billion at the end of 2024.<\/p>\n","protected":false},"featured_media":5074,"template":"","class_list":["post-5076","news","type-news","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"\n