REG - Costain Group PLC - AGM Statement

CostainAnnouncement

16/05/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240516:nRSP6233Oa&default-theme=true

RNS Number : 6233O  Costain Group PLC  16 May 2024

 

Costain Group PLC

 16 May 2024

AGM Trading Update

 

Trading in Line with Board Expectations

 

Ahead of today's Annual General Meeting ("AGM"), Costain Group PLC ("Costain"
or the "Group") announces an update on trading for the period 1 January 2024
to date.

Costain confirms that trading for the period is in line with Board
expectations and the Group continues to have a high-quality forward work
position that aligns with its strategic plans for both the Transportation and
Natural Resources divisions.

Since the start of the year, contract wins include:

·    bp's Net Zero Teesside Power and Northern Endurance Partnership joint
ventures: to manage onshore CO(2) gathering systems for the East Coast
Cluster;

·    Northumbrian Water: to help shape and deliver its strategic
infrastructure upgrade programme (including AMP8) with the potential value of
up to £670m to Costain during a 12-year period;

·    Thames Water: award of a Design and Build contract to upgrade two
strategic water treatment assets in Berkshire and Hampshire;

·    Transport for London (TfL): two major road refurbishment projects at
Gallows Corner Flyover and Brent Cross Interchange; and

·    Two new framework contracts in the nuclear energy sector.

The average weekly net cash position from 1 January to 30 April 2024 was
£168.8m (of which £60.4m was held in joint ventures). The average weekly net
cash position for the same period last year was £122.9m (of which £57.2m was
held in joint ventures).

The Group is in line to deliver its margin targets of an adjusted operating
margin run-rate of 3.5% during the course of 2024 and 4.5% during the course
of 2025. While the Board is mindful of the macro-economic backdrop, it remains
confident in the Group's strategy and medium to long-term prospects.

As part of the AGM presentation, Costain will provide a short business update
drawing on information published on 12 March 2024. There will be no new
material information in the presentation further to that of 12 March 2024 and
today's announcement.

Enquiries:

 

 Investors and analysts      paul.sharma@costain.com
 Paul Sharma, Costain        +44 (0) 7867 501188

 Financial media - Headland  costain@headlandconsultancy.com (mailto:costain@headlandconsultancy.com)
 Andy Rivett-Carnac          +44 (0) 7968 997 365
 Charlie Twigg               +44 (0) 7946 494 568 (tel:+44%20(0)79%204649%204568)

 

Notes to editors

 

Costain helps to improve people's lives by creating connected, sustainable
infrastructure that enables people and the planet to thrive. We shape, create
and deliver pioneering solutions that transform the performance of the
infrastructure ecosystem across the UK's transport, energy, water, and defence
markets.

 

We are organised around our customers anticipating and solving their
challenges and helping to improve performance. By bringing together our unique
mix of construction, consulting and digital experts we engineer and deliver
sustainable, efficient and practical solutions.

 

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 (mailto:rns@lseg.com)
 or visit
www.rns.com (http://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 (https://www.lseg.com/privacy-and-cookie-policy)
.   END  AGMAAMRTMTIBBRI