May Gurney boss in upbeat mood despite cuts

Grant Prior 13 years ago
Share

May Gurney issued a bullish trading update to the Stock Exchange this morning and predicted full-year results at the “top end” of analysts’ expectations following a strong performance in its rail and highways divisions during the first half of the year.

The firm said: “Trading in the first half has been strong, reflecting solid organic year-on-year growth, an accelerated delivery of contracts in the rail business and a good performance in the local authority highways sector on the back of dry summer weather.

“In the first half, we have secured a number of new contracts and contract extensions including those previously announced with West Oxfordshire District Council, Essex & Suffolk Water (Northumbrian Water) and Network Rail, and a newly awarded three-year extension to our long-term street lighting contract with the London Borough of Waltham Forest.

“In addition, we are in the midst of a strong bidding period, including a number of AMP5 awards which are outstanding.

“Given this first half performance, the Board believes that the Group will achieve the top end of market expectations for the full year 2010/11. Our solid £1.4bn order book and healthy pipeline of sales opportunities in our core markets, worth in excess of £4bn, provide us with good long-term earnings visibility.”

Philip Fellowes-Prynne, Chief Executive, commented: “This strong performance is a result of our consistent operational delivery, long-term customer relationships and strategic focus on providing essential front line services.

“More than 95% of May Gurney’s business is represented by long-term contracts and the Group has an established market position, delivering essential services to more than 18.5 million people across the UK.

“Our collaborative approach with our customers and emphasis on transformational service design means that May Gurney is already providing innovative, efficient and cost effective solutions to its long-term clients, which meet with the Government’s current agenda.

“May Gurney’s established position, addressing markets worth around £16bn per annum, and business model mean that we believe we are well placed as the October Comprehensive Spending Review measures are announced.

“May Gurney’s strong performance, combined with our healthy order book, contract wins and extensions, good sales pipeline and established market position, gives us confidence about our prospects for the current financial year and beyond”.

Interim results for the six months to 30 September 2010 will be announced on 1 December 2010.

Latest news

HS2 viaduct blunder over wonky concrete segments

Align JV now drilling out concrete joint as part of week-long remedial work
16 hours ago

City of London hots up as 9m sq ft under construction

Investors return to City as "10 Cheesgraters" of floorspace under construction
9 hours ago

Four arrested in £140m property fraud probe

Serious Fraud Office investigating collapse of property developer Signature Group
17 hours ago

Plans in for first phase of £1.7bn ID Manchester

Plan to reinvent 1960s Renold Building as a new innovation hub
16 mins ago

London £3bn housing framework out to tender

SMEs allocated slots on London Construction Programme housing framework refresh
23 hours ago

BAM wins first major RAAC school rebuild

Contractor seals £46m deal for St Leonards school in Durham
23 hours ago

Failed strip out specialist owes £1.5m to supply chain

More than 100 subcontractors and suppliers left with unpaid bills by Type Ten Limited
1 day ago

Councils to turn screw on building owners over fire safety upgrades

Government tells councils to step up legal action against rogue building owners
24 hours ago

Green light for £300m Fenland energy from waste scheme

Wisbech incinerator will generate 50MW from half a million tonnes of waste
2 days ago

Multiplex starts on 50-storey Thames tower

Developer green lights construction of latest phase of £3bn Bankside Yards scheme
2 days ago

McLaren lodges fresh Reading Broad Street Mall plan

Town centre scheme will deliver 600 homes in four towers
2 days ago

Beard bags £24.5m Bristol office revamp

Construction to start in April
23 hours ago

SMEs star in £3.2bn social housing upkeep deal

Around 85% of Efficiency North's framework winners are local firms
2 days ago

Scottish NHS new building projects delayed for two years

Spending clampdown hits over a dozen planned projects
2 days ago

Balfour M25 workers hold strike ballot

Motorway maintenance crews unhappy with 3.4% pay rise offer
2 days ago

Rainsford Contracts acquires M&E specialist

Expanded contractor will have turnover of £45m
2 days ago

Statom expands with launch of Northern HQ

RC frames specialist now targeting jobs in Scotland and north of England
3 days ago

High Court dismisses Stonehenge tunnel challenge

Judge quashes legal challenge against Government consent for £1.7bn job
3 days ago

£1.5bn Teesside carbon capture scheme consented

Final investment decision expected this year for construction start
3 days ago

First viaduct steel section installed at HS2’s complex junction job

Victor Buyck Steel Construction install first 300t viaduct section
3 days ago

Sister scaffold firms file administration notices

BCM Scaffolding Services and Scaffteq West employ 100 people between them
3 days ago

McLaughlin & Harvey suffers £8.6m loss

Cost inflation and Scottish landfill tax legislation hit Antrim-based group
3 days ago

Regulator opens probe into National Highways delivery

ORR concerned about 'dip in performance' on capital projects
3 days ago

Sir Robert McAlpine chief Paul Hamer exits

Hamer replaced as CEO by former Lendlease Europe boss Neil Martin
6 days ago

Unite Students to build £250m Newcastle scheme

Work to start this summer on revamp of Castle Leazes site
3 days ago

Britcon poaches Tilbury Douglas business development chief

Don Stewart joins Britcon board as strategic director
3 days ago

Building control system on verge of collapse

Calls to delay new registration scheme
6 days ago

Go-ahead for UK’s largest mass timber structure neighbourhood

Visionary 685-home sustainable village will be built in Lewes, East Sussex
6 days ago

£90m Manchester zig-zag library approved

Work to start this summer on iconic city centre building
6 days ago

Mace clear to start £34m weather-watching HQ job

Planning granted for European Centre for Medium-Range Weather Forecasts
6 days ago

Contractor services