Kier backs full-year expectations amid record order book

(Sharecast News) - Infrastructure services group Kier backed its full-year expectations on Tuesday as it said it continued to trade well in the six months to the end of December. The company said in an update that its first-half and estimated full-year performance remained in line with the board's expectations.

The order book as at the end of December was around £11.6bn, up from £11.0bn at the same time a year earlier and remaining at record levels, with 94% of FY26 group revenue estimated to be secured, "providing a high degree of visibility".

Recent awards include the company being appointed to a place on the British Airways (BA) Tier 1 collaborative framework tender, supporting the airline's 'Better Buildings' programme, initially at Heathrow, with scope to extend across other airports.

It was also appointed to two Early Contractor Involvement (ECI) contracts, worth £44m, by Southern Water, under its £3.1bn AMP8 Strategic Delivery Partner Framework.

During the period, Kier said it achieved an average month-end cash position of circa £15m, versus £38m of debt in the first half a year earlier, in line with the board's expectations. This was achieved "through the continued focus on operational delivery and cash management", it said.

At 31 December 2025, the group is expected to report a period-end net cash position "substantially above" the prior year comparative period.

Chief executive Stuart Togwell said: "We performed strongly in the first half of FY26, in line with our expectations, taking good momentum into the second half of the year.

"In particular, the achievement of an average net cash position for the period represents a significant milestone and is testament to our culture of operational delivery and focus on working capital management."