Balfour Beatty 'on track' to deliver underlying earnings

Infrastructure company Balfour Beatty on Thursday said its earnings-based businesses were on track to deliver underlying profit from operations of £172m for 2021, in line with 2019.

The firm's order book stood at £15.7bn at the end of March. Balfour said it was well placed to continue growth in its core construction divisions.

In a trading statement, the group said its cash performance continued to be positive with an average monthly net cash balance of £600m for the first four months of the year up from an annual 2020 average of £527m.

Balfour said it had accelerated its share buyback programme in recent weeks, acquiring £58m in share capital in the first four months of the year and expected to complete the full £150m for 2021 by year end.

"The impact of the pandemic, coupled with political changes in the US and UK, have accelerated those governments' spending plans on infrastructure and sustainability as a means to stimulate economic recovery. Today, Balfour Beatty is very well positioned to capitalise on these changes to grow profitably in its chosen markets,” said chief executive Leo Quinn.

Balfour also said former ITV boss Charles Allen would be taking over as chairman from Philip Aiken.