Move towards ‘smart infrastructure solutions’ keeps Costain on track
Costain is on course to deliver results in line with the Board’s expectations thanks to several new contract wins, the firm said today.
Issuing a trading update ahead of announcing results for the year ended 31 December 2017 on 1 March 2018, the firm said it has “continued to perform well” since the announcement of its interim results on 23 August 2017.
As a result of new orders, including further awards on the High Speed 2 programme, the Group has finished the year with a high-quality order book maintained at £3.9 billion (31 December 2016: £3.9bn).
In addition, Costain has a preferred bidder position at c. £400 million (31 December 2016: £500m). Following very good cash generation towards the end of the period, the group finished the year with a strong net cash position of over £150m (31 December 2016: £140.2m).
In recent years, Costain has been trying to move away from its traditional construction background towards a “smart infrastructure solutions company”.
It said it is making good progress with this transition, pointing to its involvement in several recent operational trials of HGV platooning vehicles and self-driving cars.
Andrew Wyllie CBE, chief executive, said: “Costain has had another strong year. Our performance is a direct consequence of our differentiation and our ability to provide the rapidly changing range of integrated services required by our major clients.”