Hercules Site Services trading as expected in first half

13th May 2024 12:28

(Sharecast News) - Infrastructure labour supply company Hercules Site Services said in a trading update on Monday that its performance aligned with market expectations for the full year ending 30 September, with projected revenue exceeding £47m for the first half.

The AIM-traded firm said that marked a notable increase of 27% compared to the corresponding period in 2023, which saw revenue of £37m.

It reported growth in all income streams, stemming from robust demand within the infrastructure sector.

Hercules said it would announce its interim results on 3 June.

"We have delivered further revenue growth in the first half of this financial year and gained a number of new contracts, including over £5m in civil projects and signed a significant new framework agreement with Costain," said chief executive officer Brusk Korkmaz.

"The integration of Future Build Recruitment following our acquisition of the business in December is progressing well and we are already seeing cross-selling and upselling opportunities from our existing clients.

"As the UK continues to face a skills shortage, the Hercules Construction Academy successfully opened in January and is already developing a reputation for delivering first class training and the upskilling of workers across the industry."

Korkmaz said the West Midlands based site also gave the company a strategic foothold in the heart of England.

"We are trading in line with expectations and, with continuing strong momentum in the infrastructure sector including highways, energy and water, we look forward to the rest of this financial year with confidence."

At 1148 BST, shares in Hercules Site Services were up 4.99% at 35.38p.

Reporting by Josh White for Sharecast.com.