UK's Galliford Try beats annual profit estimates
UK's Galliford Try beats annual profit estimates
Overview
UK construction contractor's full-year revenue rose 3%, meeting analyst expectations
Adjusted operating profit grew 21.9%, beating analyst expectations
Company announced new £15 mln share buyback programme
Outlook
Galliford Try expects similar revenue growth and further margin expansion in FY27
Company says 90% of FY27 and 62% of FY28 projected revenue is already secured
Galliford Try reiterates 2030 targets: revenue above £2.2bln, divisional margin at 4.0%
Result Drivers
INFRASTRUCTURE GROWTH - Co said Infrastructure revenue rose 7.7%, driven by strong performance in Highways and early design fees in Environment
MARGIN IMPROVEMENT - Co attributed higher margins to improved bidding, quality project delivery, and disciplined commercial and operational management
ACQUISITIONS AND INVESTMENTS - Co said acquisition of Nene Valley Fire and Acoustic and new fabrication facility were margin accretive and enhanced specialist capabilities
Company press release: ID:nRSQ0987Va
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
FY Revenue | Meet | GBP 1.93 bln | GBP 1.93 bln (5 Analysts) |
FY Adjusted Operating Profit | Beat | GBP 49.50 mln | GBP 48.83 mln (4 Analysts) |
FY Adjusted Pretax Profit |
| GBP 55.90 mln |
|
FY Dividend |
| GBP 0.24 |
|
FY Order Book |
| GBP 4.30 bln |
|
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the construction & engineering peer group is "buy."
Wall Street's median 12-month price target for Galliford Try Holdings PLC is GBp690.00, about 12.7% above its September 16 closing price of GBp612.00
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago
Reuters Recommended Reads
Sept 15 - UK's Kier Group FY26 revenue rises on infrastructure growth
Sept 16 - UK's Barratt Redrow FY revenue rises; cuts annual home completions target
Sept 16 - UK's Babcock retains annual forecast as defence spending backs momentum
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)