Contractor鈥檚 pre-tax profit for first six months rises 19% as it builds on rail and highway contract wins

Costain has boosted turnover by 5% from 拢508.2m to 拢533.4m in the six months to 30 June 2010 as the group benefits from the relatively strong UK infrastructure market

Pre-tax profit rose by 19% from 拢6.9m to 拢8.2m while its net cash position improved from 拢119m to 拢134m.

The company said: 鈥淐ostain has again delivered a good result for the first half of the year. It is testimony to the group鈥檚 strategic focus and leading market positions that, in one of the most testing economic environments, Costain continues to deliver a strong operational and financial performance.鈥�

Its order book has held steady at 拢2.5bn compared to the end of June 2009 and its wins in the first six months of this year include a five-year 拢115m joint venture maintenance Managing Agent Contract (MAC) for the Highways Agency and a place on Crossrail鈥檚 four-year 拢100m advance works civils framework work for Crossrail.

A company statement added: 鈥淲hilst challenging market conditions are set to continue for the foreseeable future, the board expects to report continued progress at the year-end in line with its expectations.鈥�

Divisional performance:

Infrastructure

Turnover 拢223.8m (2009: 拢164m)
Operating profit 拢8m (拢6.8m)

Environment

Turnover 拢246.7m (拢301.1m)
Operating profit 拢1.2m (2.6m)

Energy and Process

Turnover 拢62.4m (拢42.5m)
Operating profit 拢3.1m (拢2.7m)

Land Development

Turnover 拢500,000 (拢600,000)
Loss after tax 拢500,000 (拢700,000)

 

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