Recovering markets drive robust performance at listed construction group

Construction business Henry Boot has made a positive start to the year as it continues to see its markets recover and is trading in line with the Board’s expectations.

In a trading update today, the Sheffield-based Group says its performance has been supported by nine strategic land sales and the completion of developments with a total Gross Development Value (GDV) of £29m.

It notes the third lockdown had a “minimal” impact on its activities, which has allowed the Group to continue to make strategic investments in its three long-term markets.

In particular, a further 582 acres of strategic land have been secured through a mixture of freehold purchases and promotion agreements, combined with the acquisition of a prime 2.6 acre site in Birmingham city centre for potential residential-led redevelopment.

Additionally, the Group has acquired two industrial estates in Manchester and Skelmersdale, for a total of £10.5m, which will be retained in the investment portfolio.

The update adds: “Henry Boot has been encouraged by current performance levels and the growing signs of recovery.

“The Group will therefore continue to use its strong financial position to increase investments in its three key markets: industrial & logistics, residential and urban development.

“This leaves Henry Boot confident that the business is very much on track to deliver its 2021 targets as well as taking early steps towards the medium-term targets recently set out in the preliminary statement.”