Latest half-year results for the group show pre-tax profit at construction was down to £4.4m for the six months to June 30 2023 from £6.6m last time as turnover dropped to £56.2m from £66.5m.

The division has secured only 72% of its target turnover for 2023 as projects are delayed by cautious customers and only 18% of the 2024 order book has been pencilled-in so far this year compared to a target of 65%.

Two of its main contracts this year have suffered delays while the Banner Plant division is also trading below expectations.

At group level increased land sales and resilient housing completions saw pre-tax profits of £25m from £39m last time as turnover increased to £179,7m from £144.4m.

Tim Roberts, Chief Executive Officer, said: “The first half of the year has seen our markets slow as interest rates have continued to rise, but, as these results show, our focus on prime strategic sites, high quality development and premium homes has provided us with a degree of resilience.

“Whilst uncertainty in our markets has increased, we believe we have enough momentum to carry us through the year, although the outlook for 2024 for the time being is not so clear.

“However, we have conviction in our three markets which are driven by structural trends and I am pleased to report that we remain on track to hit our strategic growth and return targets over the medium term.”