Turnover also up 32% in full-year results, while firm is named likely winner of 拢1.6bn PPP Bristol health scheme
Contractor Carillion has reported a 55% rise in full-year profit, thanks to strong growth in the public sector and Middle East.
The firm posted pre-tax profit of 拢157.5m, up from 拢101.8m in 2007. Turnover jumped 32% to 拢5.2bn from 拢4bn last year. Its order book was 拢20.4bn, up 28% on last year's figure of 拢16bn.
Support services performed particularly well, with turnover growth of 37% to 拢2.5bn and a 54% rise in pre-tax profit to 拢113.5m, largely due to the integration of Alfred McAlpine, which the firm bought in 2007.
Carillion's Middle East business performed well, with turnover of 拢464.2m, but the firm said it expected a reduction in its Dubai operations this year as conditions in the emirate worsened.
However, the firm's share of revenue from the Middle East is predicted to increase to around 拢600m by the end of 2009, driven by expansion in Abu Dhabi.
The board said the firm was 鈥渨ell placed鈥� to face the 鈥渃hallenging鈥� market conditions.
It said: 鈥淕iven the overall outlook across each of our reporting segments, the board believes that Carillion is well placed to make good progress in 2009, despite increasingly challenging market conditions. The board therefore continues to expect Carillion to deliver materially enhanced earnings in 2009.鈥�
In a separate announcement, Carillion has been named as the likely preferred bidder on a 拢1.6bn PPP health scheme in Bristol.
North Bristol NHS Trust said it was planning to appoint the contractor to build a new hospital at Southmead, on the northern edge of the city, as part of a wider health plan for the region.
The firm will provide design, construction, maintenance and facilities management services on the 800-bed scheme, which will combine services from two existing hospitals in one site. The existing Southmead hospital will be largely demolished.
Carillion said it expected to invest up to 拢40m of equity in the project, which will be a 50:50 joint venture with Bank of Scotland Corporate. It will also maintain the scheme over the 30-year concession period.
The trust said the value of construction work was around 拢450m. The project is expected to have a value of 拢1.6bn over the concession period.
Work is due to start this summer, with the hospital scheduled to open in 2013.
Carillion chief executive John McDonough said: 鈥淲e are delighted that North Bristol NHS Trust intends to select Carillion as the preferred bidder for this prestigious contract.
鈥淲e look forward to working with the trust to deliver a state-of-the-art hospital, which will transform acute healthcare for people in the Bristol, North Somerset and Gloucestershire areas.鈥�
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