Kier’s performance surged, securing multiple framework wins, boosting future prospects.
- Notable increase in trading in the year’s latter half, aligning with expectations.
- Secured £13.5 billion through 15 frameworks amidst strong government infrastructure support.
- Current order book holds at £10.9 billion, with 95% of 2025’s revenue assured.
- Key sectors boosting growth include infrastructure services and nuclear projects.
Kier has experienced a notable uplift in its trading performance during the second half of the year, meeting and perhaps exceeding expectations. This progress was disclosed in the company’s update to investors, highlighting their successful securing of work valued at up to £13.5 billion through 15 framework agreements. This achievement is positioned against a backdrop of government initiatives to heighten infrastructure and housing activities, which bodes well for the company’s future.
Presently, Kier’s order book stands at approximately £10.9 billion, showing a slight increase from £10.8 billion at the end of June 2024. Significantly, 95% of its group revenue for 2025 is already secured, reinforcing the firm’s strong market position and financial stability. The company concluded its full fiscal year in June 2024 with £3.9 billion in revenue and a pre-tax profit of £68.1 million, underlining a solid financial performance.
The substantial gains made in securing framework agreements are attributed to government efforts to bolster infrastructure, which Kier is well-placed to support due to its market-leading services. Andrew Davies, the chief executive, affirmed this by stating that the financial year has commenced on a positive note, aligning perfectly with company projections.
Key drivers of Kier’s performance include its ventures in infrastructure services, nuclear projects, and utility sectors. The company also benefits from significant revenues derived from fire safety remediation and foresees lucrative opportunities in the government’s plans to expand prison capacities.
Recently, Kier landed a spot on the £3.7 billion Wessex Water framework and secured a separate £100 million contract for replacing facilities at the Royal Naval Air Station Culdrose. These wins demonstrate Kier’s robust capability to handle varied and large-scale projects, reinforcing its reputation in the industry.
Kier’s forward momentum, marked by strategic contract wins and robust government partnerships, strongly positions the firm for ongoing success.
