Topic Business
Date 20 Jan 2021
Galliford Try Holdings plc, the UK construction group, today provides an update on trading for the half year period from 1 July 2020 to 31 December 2020. The Group expects to announce its results for the half year on 4 March 2021.
Update on Current Trading
All our projects have been fully operational since the start of the financial year on 1 July 2020 and, in line with the latest Government and industry guidelines, we are continuing to trade at normal levels through the current restrictions. The Group is performing well, with trading for the period in line with the Board's expectations. As previously announced, the Board expects to report a return to profitability and a resumption of dividend with its half year results to 31 December 2020.
Balance Sheet
The Group has maintained a strong cash position, leaving us well placed to manage lockdowns and to continue to support the business. Average month-end cash for the six months ended 31 December 2020 was £158m (six months to 30 June 2020: £141m). The Group has a PPP asset portfolio, no debt and its period-end cash at 31 December 2020 was £209m (30 June 2020: £197m).
Order Book and Outlook
We continue to see a strong pipeline of opportunities in our core sectors and in line with our disciplined approach to risk management and contract selection. Our strong position in the public and regulated sectors positions the Group well to benefit from increasing Government construction and infrastructure spending. At 31 December 2020 the Group had a high-quality order book of £3.3bn (H1 2020: £3.2bn), benefitting from recent contract awards which align to our strategic focus. Notable awards include Thames Water's £590m AMP 7 framework, our appointment to the £10.5bn NHS Shared Business Services framework and our appointment to the £2.1bn Construction West Midlands framework.
Bill Hocking, Chief Executive of Galliford Try, commented: "The health, safety and wellbeing of our colleagues is of paramount importance, especially during the current lockdown. Our staff and supply chain's response to the challenges faced in 2020 was exemplary and I am pleased with the trading performance that we have delivered. Despite the ongoing challenges from Covid-19, our strong balance sheet, market leading sector positions and high-quality order book give me confidence in our future performance."