Galliford Try Holdings Plc · LSE:GFRD
Galliford Try — Investor Presentation (June 2025)
36 slides from Galliford Try's investor presentation, June 2025
Slide 1: Investor Presentation
Investor Presentation Consistent, sequential and profitable growth June 2025 V2 01/06/25
Slide 2: Agenda
Agenda Bill Hocking H1’25 Highlights Strategy to 2030 Chief Executive H1’25 Financial review Sustainable Growth Q&A 2
Slide 3: What we do
What we do Environment Defence Health Infrastructure Education Custodial and Judicial Affordable Homes Asset Intelligence & Digital infrastructure Commercial Private Rented Sector Investments Facilities Management 3
Slide 4: Building, Specialist Services, Highways, Environment (Water)
Building Specialist Services Highways Environment (Water) ▪ Education ▪ Investments ▪ Roads ▪ Asset Creation ▪ Health ▪ Digital infrastructure ▪ Bridges ▪ Design services ▪ Defence ▪ Facilities Management ▪ Public realm ▪ Capital maintenance ▪ Custodial ▪ Façade remediation and fire ▪ Water Technolo
Slide 5: Some of our clients
Some of our clients caitZitry love every coo) ERYEEN NORTHUMBRIAN Leicestershire a8 288 8 anglianwater « TRENT WATER (iving waiter County Council Pope rer ee Oe ee = . Bed Ed J Southern. Wessex Water Affini “4 Guest Lothian Grown £ D Homes Water <== YTL GROUP inityWater HL0/ Council Pepa eS Samaria
Slide 6: Our engine for Sustainable Growth
Our engine for Focused risk Sustainable Growth management An embedded culture of discipline and risk awareness that Assessing and managing risks and uncertainties is the drives a high-quality order book and selective bidding central element of our process and business strategy Board Robust approval
Slide 7: Strategy to 2030
Strategy to 2030 Grow revenue Grow our specialist Re-enter the Leverage our Continue to and margin in businesses Affordable geographical and generate growing our three core in higher margin, Homes client footprint shareholder businesses adjacent markets market across the UK returns Revenue £1.1bn £1
Slide 8: Drivers of revenue growth
Drivers of revenue growth Ageing social and economic Population Climate infrastructure growth change ▪ Government’s growth agenda aligns to our ▪ Ageing and growing population places ▪ UK’s net zero targets. chosen sectors; recognising investment in increased demand on the built environment ▪ Client
Slide 9: Drivers of margin growth
Drivers of margin growth Digital tools and Increasing Maturing client Quality right first- processes to drive capabilities in procurement and time; reducing time quality, efficiency higher-margin sector attitudes and cost of rework and carbon savings adjacent markets Robust risk management; Modern M
Slide 10: Financial review
Financial Kris review Hampson Chief Financial Officer Melton Mowbray Distributor Road 10
Slide 11: Strong performance
Strong performance Revenue (£m) H1 25 £923m H1 24 £819m Var +12.7% Adjusted operating profit (£m) £17.7m £14.1m +25.5% ▪ Another period of consistent, sequential Adjusted profit before tax1 and profitable growth. £20.5m £16.8m +22.0% (£m) ▪ Strong YoY increases in revenue, profit Adjusted effective
Slide 12: Segmental analysis
Segmental analysis H1 25 H1 241 Var Revenue (£m) 923.2 819.1 +12.7% Building 467.3 446.0 +4.8% Infrastructure 451.7 362.0 +24.8% Investments 4.2 11.1 (62.2)% ▪ Building – continues to perform well as a major business, complemented by our FM H1 25 H1 241 Var operations. Adjusted operating profit / 17
Slide 13: Strong balance sheet
Strong balance sheet Balance sheet £m 31 Dec 2024 30 June 2024 Intangible assets & 97.4 97.9 goodwill ▪ Continuing strong balance sheet with period-end cash PPP & other investments 40.2 41.8 of £210.0m. Other non-current assets 69.6 71.7 ▪ Robust cash position. Working capital (243.1) (274.6) • Aver
Slide 14: Capital allocation model
Capital allocation model Investing for growth Returns to shareholders FY21 - H1 25 ▪ Ability to invest in technology and training to drive quality and efficiency. Reinvest ▪ Accelerates adjacent market opportunities. in the ▪ Enables strategic and bolt-on acquisitions to enhance capabilities. busine
Slide 15: Confident outlook
Confident outlook Strong start to Sustainable Growth Strategy to 2030 Revenue up 13% £1,773m Adjusted PBT up 22% Adjusted EPS up 11% TSR 247% £1,394m 1 Jul 2021 to 31 Dec 2024 £1,237m 29.6p £1,125m >£2.2bn £35m 17.1p 18.0p £20.6m £22.4m £542m £594m £679m £819m £923m £8.7m £20.5m 7.7p 14.1p 15.7p ▪ F
Slide 16: Sustainable Growth
Sustainable Bill Growth Hocking Chief Executive Modern Methods of Construction at Guildford Crescent (The Rise), Cardiff 16
Slide 17: Modern Methods of Construction
Modern Methods of Construction 17
Slide 18: Grow Together: our people strategy
Retain Gain Internal mobility Early Careers programme Explore Dedicated programme to build talent Supports upskilling, development, pipeline. succession planning, employee satisfaction and retention. Grow Mentoring the Next Generation Industry perception and providing routes into our business; pilot
Slide 19: A destination employer
A destination employer 4,200 87% Employees in our business Employee advocacy score No1 11.4% Construction & civil engineering employer Churn for apprentices and No2 for graduates 19
Slide 20: ESG
ESG Supporting our growth strategy Environment: carbon | biodiversity | resources reduction in Scope 1 and Net zero by 2030 within 71% 2 carbon emissions since 2012* 93% of our company car fleet is electric/plug-in hybrid 17.7 tonnes of waste per £100,000 of revenue 2030 our operations and by 2045 a
Slide 21: Winning work based on quality over cost
Winning work based on quality over cost Order book procurement route Example of scoring criteria 1% 20% Management 20% 38% Project delivery 19% 51% SHEQ 15% 10% 80% Sustainability and carbon 8% Social value 10% Single-stage Two-stage Scoring criteria Negotiated Target/cost plus Non-financial Contrac
Slide 22: High-quality £3.9bn order book
High-quality £3.9bn order book £429m £394m Order book by client type 98% Work secured for £70m £666m £3.8bn £3.9bn £3.7bn £2.3bn £1.6bn FY25 £294m £552m £978m 9% 10% 13% 81% £565m Building Infrastructure Work secured for 91% 90% order book order book 87% FY26 Custodial Environment Defence Highways E
Slide 23: Frameworks provide long-term visibility
Frameworks provide long-term visibility 2024 2025 2026 2027 2028 2029 2030 Environment AMP7 AMP8 AMP9 DV2 SR21 ESD SR27 / SR 33 DV4 Environment Agency Asset Operation Maintenance Response Environment Agency MEICA Highways Midlands Highways Alliance + Midlands Highways Alliance + YORcivil 3 YORcivil
Slide 24: Leading provider in water
Leading provider in water 20 55 21 water frameworks 14 Design & Build Capital Maintenance Water Technologies 19 AMP7 and SR21 36 AMP8 and EA frameworks frameworks 17 average number of consecutive years working with each client to date. We are working with all the UK’s major water and sewerage compan
Slide 25: Summary
A compelling investment Summary High-quality business operating in robust markets generating growing returns Robust market Rigorous risk ▪ Excellent start to strategy period opportunity management underpinned by track record of operational Excellent position in chosen sectors. Embedded culture of as
Slide 26: Appendices
Appendices 1. Sustainable Growth Strategy 2. Our sustainability commitments 3. Why we target frameworks 4. Forward order book 5. Contract types & recent successes 6. PPP Investments valuation 7. Our approach to M&A 8. Impact of changes in Adjusted Performance Measures 26
Slide 27: Sustainable Growth Strategy
Appendices 1. Sustainable Growth Strategy A people-orientated, progressive Deliver excellence for our clients. culture driven by our values. . Clients: Delivering lower carbon, superior buildings and infrastructure Health and safety: Prioritising with a better social footprint for clients health, sa
Slide 28: Our sustainability commitments
Appendices 2. Our sustainability commitments Strategic Sustainability FY23 FY24 Ambition priorities pillars Health and Lost Time Frequency Rate 0.20 0.14 No harm safety Accident Frequency Rate 0.09 0.04 No harm Progressive culture Early careers1 as a % of total employees 10.0% 10.2% >9.0% Our people
Slide 29: Why we target frameworks
Appendices 3. Why we target frameworks Improved risk and favourable outcomes ▪ Improved risk allocation: • Established and well-understood terms and 84% Work in frameworks conditions. (H1 24: 81%). • Long-term client relationships. • Predictable behaviours. • Certainty in tendering and typically red
Slide 30: Forward order book
Appendices 4. Forward order book Forward order book distribution – Building (excluding FM) ▪ <£20m average contract 60 size. 50 Number of contracts 40 30 20 10 0 Contract size 30
Slide 31: Contract types
Appendices 5. Contract types & recent successes Target cost/cost Where an overall target contract value is agreed with the client, reimbursable including margin, risk and inflation contingencies, and the actual cost of the work plus agreed fee is paid by the client. Any cost savings or overspends ag
Slide 32: Contract types & recent successes
Appendices 5. Contract types & recent successes Building Infrastructure Specialist Services £63m Single Living Accommodation £89m contract to construct the South Pagabo Small Works Dynamic Purchasing contract for DIO at RAF Digby. Aylesbury Link Road for Buckinghamshire System (DPS) Framework. £44m
Slide 33: PPP Investments valuation
Appendices 6. PPP Investments PPP Investments valuation valuation 45 £41.7m £40.2m Valuation £m 40 £38.8m 35 7.1% 7.6% 8.1% Discount rate % 33
Slide 34: Our approach to M&A
Appendices Acquisition history 7. Our approach to M&A October Our 2030 strategic targets do not assume any further acquisitions, however 2021 our capital allocation framework allows for investment in M&A given the following criteria are met. Strategic criteria Financial criteria July 2022 Existing o
Slide 35: Impact of changes in Adjusted Performance Measures
Appendices 8. Impact of changes in Adjusted Performance Measures Pre Pre-exceptional PBT up Pre-exceptional EPS up Adjusted profit before tax definition 28% £32.7m 16% 27.9p change This measure has been changed to exclude £23.4m £19.1m 16.0p 18.9p amortisation of acquired intangible assets with £11.
Slide 36: Disclaimer
Disclaimer This document contains statements that are, or may be deemed to be, forward-looking statements in this document will actually occur. You are “forward-looking statements” which are prospective in nature. These cautioned not to place undue reliance on these forward-looking statements forwar
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