Profits top £56.4m for Kier thanks to raft of projects
Property, construction and services company Kier Group, which has 300 staff in offices across the North West, says major projects across the region have contributed to increased half-year profits to £56.4m.
This was a rise of 4% in the six months to December 31 – year on year – although revenue dipped slightly but remained above £2bn.
The company pointed to its joint venture with Carillion to turn the M6 junctions 16 to 19 into a smart motorway, in a project worth up to £475m. Kier is also one of the construction partners on the £450m Mersey Gateway project, the construction of a six-lane toll bridge over the River Mersey linking Runcorn and Widnes.
In Manchester, the business recently announced it was locating its new Financial Shared Service Centre in Fountain Street, Manchester which will create 250 jobs and adds to Kier’s two existing offices in the city at Queen Street and Trafford Park.
Kier also recently purchased Oddfellows House in Manchester’s prime central district and once redeveloped, the site – to be known as Eleven York Street – will deliver 80,000sq ft of Grade A new build office space in the city.
It also delivered the £6m transport interchange at Wythenshawe on behalf of Transport for Greater Manchester, which has played a key role in helping to regenerate the area since it opened in July last year.
In Liverpool, Kier was recently appointed to redevelop Pall Mall Exchange in Liverpool which, when complete, will provide up to 400,000 sq ft of Grade A+ office space.
It is also working with Liverpool City Council to deliver its £150m Schools Investment Programme across the city and is currently on site at the £15m Sensor City development, which will create a sensor-systems business incubator in Liverpool when complete.
Kier also reported an order book of about £9bn, reflecting a strong pipeline conversion in regional building and highway services.
Haydn Mursell, chief executive, said:“Today’s results reflect the ongoing financial and operational discipline employed across the Group and the strength of our flexible, integrated business model.
“The group has a balanced portfolio of businesses and market leading positions in regional building, infrastructure and housing. Our continued focus on simplifying the portfolio and working with clients in a collaborative way is delivering further growth opportunities. Our clients recognise this approach as a key differentiator when working with Kier.
“The group’s breadth provides some resilience against economic uncertainty and we continue to shape Kier to focus on our core competencies.
“We are encouraged by the pipeline in the property and residential businesses and our healthy order books of approximately £9bn in the construction and services businesses.
“We remain on course to deliver our expectations for the full year and we are well positioned to achieve our Vision 2020 goals.”
