Balfour Beatty sees FY growth as earnings, dividend rise

14th Aug 2024 07:03

(Sharecast News) - British infrastructure company Balfour Beatty on Wednesday lifted its dividend by 9% and said it expected annual earnings to grow after a jump in half-year profit.

The company said pre-tax profit for the six months to June rose to £112m from £82m a year earlier. It lifted the dividend to 3.8p a share from 3.5p.

"The outlook for the group's chosen growth markets, where we hold unique capabilities in delivering complex infrastructure projects, remains encouraging, including in the UK with the new government reinforcing commitments to critical national infrastructure," said chief executive Leo Quinn.

He added that the group's £16.6bn order book, which grew slightly in the first half, remained "significant" across the company's markets of the UK, US and Hong Kong and continued to give clear visibility in the short and medium term.

"The board continues to expect growth in underlying group earnings in 2024, with growth accelerating in 2025."

Average cash in 2024 is expected to be broadly in line with the £700m recorded in 2023, allowing for a working capital outflow and for full year capital expenditure to return closer to pre-2023 levels of around £35m, the company said.

Reporting by Frank Prenesti for Sharecast.com