Business model and strategy
Galliford Try operates across the UK as a standalone construction group, carrying out work primarily as Galliford Try and Morrison Construction.
Our business is organised into three divisions: Building, Infrastructure and Specialist Services, which includes Investments, FM and our dry lining and piling businesses.
- Building serves a range of clients across the UK, retaining a substantial presence in Scotland. It works with clients in the public and regulated sectors, in particular the health, education and defence markets, and rail and aviation sectors. Building also serves commercial clients, mainly in the South East and Midlands.
- Infrastructure carries out civil engineering projects, specialising in the highways and environment sectors.
- PPP Investments delivers major building and infrastructure projects through public private partnerships. It leads bid consortia and arranges finance, making equity investments and managing construction through to operations.
Our network of regional offices is a key advantage, offering clients the benefit of national strength with local delivery and we are focused on sectors where we have proven strengths, operating predominantly in the public and regulated sectors.
Prior to 2020, Galliford Try was a FTSE 250 construction, housebuilding and regeneration group. The business disposed of its housebuilding divisions Linden Homes and Galliford Try Partnerships on 3 January 2020 becoming a well-capitalised, standalone construction-focused group.
Our strengths
- Our business is well-capitalised and cash positive.
- We have strong client relationships based on collaborative working.
- Our management team is highly-experienced.
- We have a disciplined approach to project selection.
- We are focused on sectors where we have core and proven strengths.
- We have an excellent position on frameworks and in public and regulated sectors.
- We are committed to creating long-term value for our stakeholders.
Our robust financial position combined with market leading positions in our chosen sectors means that we are strongly positioned for future disciplined growth. I am very excited about the future opportunities for Galliford Try. There is good momentum in the business, reflected by a number of significant wins through the first half of the year and the strength of our high-quality order book.
Bill Hocking
Chief Executive , Galliford Try
Strategy
In April 2019, we undertook a strategic review that reduced our size, increased our operational focus and simplified our structure. We are now concentrating on markets with long-term growth and profitability potential, such as our regional building, highways and environment operations, where we have a track record of success, supported by a robust tendering process and contract discipline.
Our strategy to 2021 is to:
- Retain our solid platform for sustainable growth: we have a number of important strengths, including our talented people, health and safety standards, national coverage with local delivery, high-quality order book, excellent panel position on framework contracts and our focus on the public and regulated sectors. We intend to maintain and build on these strengths, which provide a solid foundation from which we can grow the business.
- Improve our operations to drive margin progression: we have identified several areas in which we can continue to improve, which will support margin progression. These include our approach to managing risk in project selection and our operations, our ability to continue to attract, retain and develop a diverse workforce, further modernisation of our systems, enhancements to our communication tools and continuing to align our supply chain with operations.
- Deliver strong, predictable cash flows and margin improvement: ensuring we only bids for high-quality work with appropriate margins, while continuing to improve the way we work will enhance our margins over the period to 2021. This, in turn, will help us to deliver consistent and growing cash flows, which will support our investment in growth.
