Business
BALFOUR BEATTY 2022 TRADING UPDATE
BALFOUR BEATTY 2022 TRADING UPDATE.
About this update from Balfour Beatty Plc
[{"type":"text","content":"\n \n News Release\n \n \n \n \n \n \n \n \n 08 December 2022\n \n \n \n \n \n \n BALFOUR BEATTY 2022 TRADING UPDATE\n \n \n \n \n Continued strong operational performance\n \n \n \n Balfour Beatty, the international infrastructure group, today provides a trading update covering the period to 8 December 2022.\n \n \n \n \n \n \n Financial Update\n \n \n \n \n \n \n \n \n ·\n \n Order Book:\n \n The year-end order book is expected to be around 5% ahead of the prior year (FY2021 £16.1 billion), largely due to favourable foreign exchange movements. The Group continues to de-risk the order book across its portfolio by focusing on projects with the appropriate terms and conditions.\n \n \n ·\n \n Revenue:\n \n Full year revenue is expected to be about 5% ahead of prior year (FY2021: £8.3 billion), also largely driven by foreign exchange.\n \n \n ·\n \n Profit from operations:\n \n Full year underlying PFO from earnings-based businesses is expected to be in line with guidance at the half year.\n \n \n ·\n \n Profit for the year\n \n : Now expected to be ahead of market expectations due to positive net interest income and the recognition of deferred tax assets significantly reducing the 2022 tax charge.\n \n \n ·\n \n Cash\n \n : Cash performance continues to be strong. Full year average monthly net cash now forecast to be around £800 million, ahead of the previous guidance of £740-£780 million.\n \n \n \n Operational Update\n \n \n \n \n \n \n \n \n \n Construction Services:\n \n In the UK, Balfour Beatty has been appointed as the sole contractor to both of the SCAPE Civil Engineering frameworks, covering England, Wales and Northern Ireland, and covering the entirety of Scotland. The frameworks are worth up to £3.25 billion and £750 million, respectively, covering a period of four years, with an option for a two-year extension.\n \n \n \n \n \n US Construction has continued winning work across all chosen geographies, with notable 2022 orders including a $700 million federal building in Maryland, a $400 million convention centre in Florida, a $300 million multi-use development project in Texas and $300 million of data centres in Oregon.\n \n \n \n \n \n In Hong Kong, Gammon is holding a record order book and has a healthy pipeline of future opportunities. It recently secured a HKD2.6bn bu...