Galliford Try has £3.2bn in orders after housebuilding arm sale
Galliford Try has revealed that its order book stands at £3.2bn following the £1.1bn sale of its Linden Homes and partnerships and regeneration arms to Bovis Homes.
In a trading update, the company said it was a “well-capitalised construction business” with a cash balance of £225m as of 31 December 2019. Average month-end cash balances for the second half of the financial year are expected to be in excess of £100m.
It added that its underlying construction business is performing well and is in line with expectations for the year ending 30 June 2020. “As previously highlighted, the group expects performance to be weighted to the second half of the financial year due to both market uncertainty and the settlement of certain claims in the first half of the year,” it said.
Recent contract wins include appointments to the YORCivil four-year major framework for Sheffield Council, AMP7 for Yorkshire Water, AMP7 for Southern Water, the A47 and A303 improvement works for Highways England and, in the private sector, the Project Nash development in central London for the Portman Estate.
The is due to announce its results for the half year and a strategy update on 12 March 2020.
Chief executive Bill Hocking said: “The successful completion of the disposal of the housing and partnerships divisions means Galliford Try is now a well-capitalised and focused UK construction group. 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 the high-quality order book.”