Ferrovial Construction reports revenues up in the UK
Ferrovial Construction has today reported positive financial results for 2021, positioning itself well for future UK business and continued delivery of UK strategy.
Revenue has continued to increase by 19% up to £456m compared with £381m reached the previous year due to the strong performance of live projects and the award of Norwich Western Link project in line with its growth strategy.
This year’s results demonstrate the financial position of the company going from strength to strength. Operating profit has increased to £6m and the total comprehensive income for the year has increased to £11m compared to last year’s £3m. Net cash balance has increased to £195m. The company also recorded solid performance in terms of order book with it remaining at £1bn due to the award of a new highways contract, approved client changes of the current contracts and delivery of the works completing in 2021.
The publication of results for its UK Construction business follows the recent announcement that the global business has increased revenue by 5.4% in like-for-like terms to €6,778m (£5.7bn) due to the contributions from (Cintra) toll roads and construction.
Ferrovial has a strong financial position underpinned by good operating cash flow and higher dividends from infrastructure assets, resulting in a liquidity position of €6,421m, while net cash stood at €2,182m, excluding infrastructure projects but including discontinued operations. 89.3% of its revenue conform to the criteria of the European Union taxonomy. The Construction backlog reached a record €12,216m (£10.2bn) at year-end.
Strategy for the UK and Ireland Business
The growth and diversification strategy for the UK and Ireland business continues to yield positive results. The strategy places people at the centre of its business whilst it grows in terms of geographical diversification, scale of projects targeted as well as bringing its wealth of international experience and expertise to sectors such as rail.
Karl Goose, Managing Director: “It’s excellent to see the result of the team’s hard work, confirming that we continue to head in the right direction despite the challenges of the pandemic. Infrastructure’s role in the UK’s economic recovery is clear and we are focused on sustainably contributing to this now and long into the future to support our clients, supply chain, and the communities where we work.
“Our growing and diverse team remains at the heart of our business and we will continue to prioritise their development, career progression and their health and wellbeing. Our early talent community will form 25% of our employee base by the end of 2022 with 62% of this year’s graduate intake from a Black or Asian background.
“Our focus for the year ahead will be to continue to bring innovation and excellent delivery to our clients and the sector, ensuring we hit our carbon reduction targets as approved by the Science-Based Targets initiative as we work with industry to achieve carbon neutral construction.”