Lend Lease increases profit by 24% despite lacklustre performance by UK construction arm which sees 4% profit fall

Developer Lend Lease posted a 24% increase in operating profit despite a disappointing performance by its construction business Bovis Lend Lease.

Operating profit rose to 拢143m for the year ending June 2006 compared with 拢115.6m for the year ending June 2005.

Profit at Bovis dropped 4% to 拢54.5m from 拢57m. This lacklustre performance was in part attributed to its UK operations where there was a 拢14m writedown on the 拢400m BBC鈥檚 Broadcasting House Scheme in London and the 拢80m Bridgewater Place Tower in Leeds.

Bob Johnston, global CEO, of Bovis said: 鈥淭he UK had a strong second half result which helped to offset the first half margin deterioration.鈥�

Total operating revenue at Lend Lease rose 17% to 拢3.8bn up from 拢3.3bn. Operating revenue from PFI work fell 24 % to 拢31m compared with 拢1m the previous year.