REG - Galliford Try Hldgs - Trading Update

Galliford Try HoldingsAnnouncement

19/01/2022 07:05

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RNS Number : 8682Y  Galliford Try Holdings PLC  19 January 2022

Galliford Try Holdings plc

Trading Update

19 January 2022

 

Galliford Try Holdings plc, the UK construction group, today provides an
update on trading for the half year period from 1 July 2021 to 31 December
2021. The Group expects to announce its results for the half year on 3 March
2022.

 

Update on Current Trading

 

The Group is performing well, with trading in line with the Board's
expectations. We have made further good operational progress in the half year
and continue to execute against our Sustainable Growth Strategy.

 

All of the Group's projects are fully operational in line with the latest
Government and industry Covid guidelines. Our disciplined approach, investment
in modern construction practices and digitalisation, and active engagement
with our supply chain have proved particularly important during the recent
period of materials shortages and inflation.  We continue to manage these
challenges effectively and without any material impact on trading.

 

We are making excellent progress with the integration of the nmcn water
businesses, acquired in October 2021, and are pleased with the commitment and
contribution of all those associated with the acquired business. The half year
results will include non-underlying costs in respect of the acquisition and
integration, and in relation to our investment in cloud-based enterprise
resource planning (ERP) systems.

 

Balance Sheet

 

The Group's strong balance sheet continues to be a differentiator, supporting
our ability to win high quality contracts and framework positions as well as
providing confidence to our supply chain.

 

The average month-end cash for the six months ended 31 December 2021 was circa
£180m (year to 30 June 2021: £164m) and period-end cash at 31 December 2021
was circa £210m (31 December 2020: £211m). The Group has a portfolio of PPP
assets, no pensions liabilities and no debt or associated covenants.

 

Order Book and Outlook

 

We are encouraged by the pipeline of new opportunities across our chosen
sectors, which align to our Sustainable Growth Strategy. Our strong track
record and focus on the public and regulated sectors makes us well placed to
benefit from increasing Government investment in economic and social
infrastructure, and our pipeline of work with high quality private sector
clients continues to be robust.

 

Recent project wins, contributing to our £3.4bn order book, include our share
of the £7bn Department for Education 2021 Construction Framework, the £55m
Galashiels Community Campus on behalf of Scottish Borders Council and Hub
South East and a £56m private rented sector (PRS) scheme in Milton Keynes.
 

 

Bill Hocking, Chief Executive, commented:

 

"We are pleased with our performance in the first half of the financial year.

 

We have made strong progress on our strategic objectives.  Our recent
acquisition of nmcn's water business, fully aligned to our strategy, offers
significant opportunity to the Group and our water sector and related
clients.

 

With our excellent people, strong balance sheet, market leading sector
positions, and high-quality order book we are well placed to deliver strong
future performance and long-term sustainable value for all stakeholders."

 

 

For further enquiries please contact:

 

    Galliford Try             Bill Hocking, Chief Executive                            01895 855001

                              Andrew Duxbury, Finance Director

                              Kevin Corbett, General Counsel & Company Secretary
    Tulchan Communications    James Macey White                                        020 7353 4200

                              Victoria Boxall

 

 

Note to Editors

Galliford Try is a trading name of Galliford Try Holdings plc, 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 (environment and highways) projects with clients in the public,
private and regulated sectors across the UK.

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