The company reported adjusted revenue of £4.09 billion, up 3% from the previous year
LONDON: Kier Group plc, a leading UK infrastructure services, construction and property firm, posted a robust financial performance for the year ended June 30, 2025, marked by revenue growth, improved margins, and a record order book.
The company reported adjusted revenue of £4.09 billion, up 3% from the previous year, while adjusted operating profit rose 6% to £159.1 million. The adjusted operating margin increased by 10 basis points to 3.9%, moving closer to Kier’s long-term target range of 4.0% to 4.5%.
Net cash surged 22% to £204.1 million, and average month-end net debt improved by £67 million to £49.2 million. Despite a 16% dip in free cash flow to £155.4 million, Kier achieved a 125% operating cash conversion rate, well above its 90% target.
The Group’s statutory revenue climbed 4% to £4.08 billion, with operating profit up 10% to £113.7 million and profit before tax rising 15% to £78.1 million. Basic earnings per share increased 8% to 12.8p.
Kier’s order book reached a record £11 billion, securing 91% of expected FY26 revenue and approximately 70% of FY27 revenue. The company also announced a 38% increase in its full-year dividend to 7.2p and continued its £20 million share buyback program, over 30% complete as of June 30.
“In the first year of our long-term sustainable growth plan, the Group delivered strongly, with profit performance ahead of expectations,” said outgoing Chief Executive Andrew Davies. “We remain confident in our strong sustainable cash generation and disciplined capital allocation.”
Davies also praised the company’s transformation over his six-year tenure and welcomed Stuart’s appointment as the next CEO.
Kier continues to benefit from the UK Government’s 10-year Infrastructure Strategy and plans further investment in its Property segment, now capitalized at £198 million and targeting a 15% return on capital employed by FY28.