Kier Group PLC

Kier Group reported higher revenue, profit and cash generation for fiscal 2026, with revenue up 7.5% to £4.4 billion, adjusted operating profit up 6.7% to £170 million and adjusted earnings per share up 8.8%. The order book rose 8.2% to a record £11.9 billion as of June 30, providing 95% revenue coverage for fiscal 2027, and the company said it expects fiscal 2027 adjusted earnings per share at the top end of its prior guidance. Operating free cash flow reached £206 million, closing cash rose 14% to £232 million, and the board raised the full-year dividend to 7.8 pence per share after a final dividend of 5.2 pence, alongside a completed £20 million buyback and a second £25 million program begun in March. Kier will run off its existing property portfolio rather than invest in new developments, expecting to release about £150 million of capital over three years, and is targeting medium-term adjusted operating margins of 4% to 4.5%, cash conversion above 90% and annual EPS growth exceeding 10%, with average net cash of more than £200 million by fiscal 2029. The company also aims to double water revenue from £400 million to £800 million by 2029, lift energy revenue from £170 million to £400 million, defense from £150 million to £350 million and healthcare from £170 million to £250 million, sectors it said could provide about £1 billion of revenue uplift.