Galliford Try (GFRD) H2 2024 earnings summary

Executive summary

• Revenue increased 27% year-over-year to £1.77 billion, with strong organic and acquisitive growth across all divisions.

• Pre-tax profit rose 40% to £32.7 million, and EPS grew 48% to 27.9p, reflecting operational leverage and robust risk management.

• Dividend per share increased 48% to 15.5p, and a new £10 million share buyback was announced.

• Strong order book at £3.8 billion, with 92% of work for the current year secured and over 70% for 2026 already in hand.

• Robust balance sheet with average month-end cash of £155 million, no bank debt or pension liabilities.

Financial highlights

• Revenue rose to £1,772.8 million from £1,393.7 million (+27.2% year-over-year).

• Operating profit before amortisation increased 35% to £29.6 million; operating margin improved to 2.5% from 2.4%.

• Year-end cash increased 3.1% to £227 million; average month-end cash up 15% to £155 million.

• No bank debt or pension liabilities; strong cash conversion and working capital improvement.

• Total shareholder returns over four years reached 144%.

Outlook and guidance

• Revenue growth expected to normalize, with further margin improvement and operational efficiencies anticipated.

• Confident outlook supported by a high-quality, long-term order book and robust demand in core sectors.

• On track for 2030 sustainable growth targets, with continued focus on disciplined risk management and selective work intake.

• Strategy targets revenue above £2.2 billion and divisional operating margin of 4.0% by 2030.

• Dividend expected to triple over the strategy period, with sustainable returns to shareholders.