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Galliford Try profits and revenue rocket

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Galliford Try delivered another year of growth, with a surge in revenue and more than treble in pre-tax profit, in its latest financial results.

Bill Hocking, CEO. Credit: Galliford Try

Revenue for the year ended 30 June 2024 increased 27.2 per cent to £1.8 billion from £1.4 billion the previous year.

The contractor generated a pre-tax profit of £30.9 million, 205.9 per cent higher than 2023 with £10.1 million.

Meanwhile, operating profit before amortisation grew 35 per cent to £29.6 million from £21.9 million in 2023.

The firm was set to release its 2023 results last month, however, it announced that it would be delaying them due to the Group’s auditor BDO requesting more time to complete their standard auditing processes. 

The company claimed that revenue “benefitted from the ongoing organic growth as well as the delivery of the work that was previously communicated as delayed by the macro inflation and public sector procurement challenges in 2022.”

Across all divisions Galliford Try secured an order book of £3.8 billion up 2.7 per cent from 2023 with £3.7 billion.

The group’s building division saw growth of 17.7 per cent at £938.3 million compared to 797.1 million in 2023.

Meanwhile, Infrastructure increased by 38.8 per cent from £590.8 million in 2023 to £819.8 million with an order book valued at £1.5 billion.

In terms of group balance sheet, it reported no debt or defined benefit pension obligations, and had a cash balance of £227.0 million (2023: £220.2 million). 

Galliford Try also claimed that the Group enjoyed the benefits of both strong AMP7 revenues from its water clients and “are pleased by the early trading on the change over to the much larger AMP8 water plan”

Contract awards for AMP8 including a place on the Strategic Delivery Partner framework for non infrastructure above ground works reflects “recognition of our differentiated quality offering, supporting delivery of our Sustainable Growth Strategy target of in excess of £2.2bn of revenue by 2030.”

This year the company also announced Kris Hampson would be taking up the position as Galliford Try’s new Chief Financial Officer.

Bill Hocking, Chief Executive, said: “Galliford Try has delivered another year of sequential, robust revenue and margin growth.  

“Our strong progress, well ahead of plan, provided us with the confidence to reset our ambitions over the mid-term, and to announce our updated Sustainable Growth targets to 2030 at the Capital Markets Event held in May 2024. 

“Our commitment to risk management, careful contract selection and operational excellence underpins the consistent year on year performance and our future prospects. 

“The UK’s planned, and required, investment in economic and social infrastructure continues to support growth in our chosen markets; and our confidence in the Group’s outlook is supported by our carefully selected, sector focused, high quality order book which provides visibility and security of future workloads. 

“We will continue doing what we said we would do, consistently delivering strong performance – supported by our professional teams, a strong balance sheet, solid order book and excellent supply chain and client relationships. 

“I am very much looking forward to working with Kris Hampson, our new Chief Financial Officer, who brings a wealth of stakeholder experience to the Group and positions us to further progress our sustainable growth ambition. 

“I continue to be impressed by our people, their professionalism and work ethic and thank them all for their contribution to the ongoing success of the Group.

“We are confident in the outlook for the current financial year, with 92% of FY25 revenue already secured, and are encouraged by our recent framework and sector wins which align with our strategy to 2030 and underpin the opportunity to deliver further strong performance and sustainable long-term value for all stakeholders.”

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