This article first appeared on GuruFocus .
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Revenue:Increased by 1.3% to GBP935 million.
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Adjusted Divisional Operating Margin:Improved to 3.2%, up 0.5% from the previous year.
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Adjusted Profit Before Tax (PBT):Increased by 20% to GBP24.7 million.
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Earnings Per Share (EPS):Increased by 18.5% to 18.6p.
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Interim Dividend:Increased by 18% to 6.5p per share.
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Average Month-End Cash:GBP190 million, up 6.3% from June 2025.
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Order Book:GBP4.1 billion, up GBP200 million from the previous year.
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Building Division Revenue:Increased by 2.0% to GBP476.5 million.
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Infrastructure Division Revenue:Increased by 0.6% to GBP454.2 million.
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Period-End Cash:GBP211.7 million.
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PPP Assets:Valued at GBP38.5 million, generating GBP1.8 million in annuity income.
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Shareholder Returns:GBP20.6 million through share buyback and dividends.
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New Acquisition:Nene Valley Fire & Acoustic Limited for GBP10 million.
Release Date: March 04, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Galliford Try Holdings PLC ( FRA:3WC ) reported a strong first half with revenue up by GBP12 million or 1.3% to GBP935 million.
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The company achieved a significant 20% increase in adjusted profit before tax to GBP24.7 million.
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Galliford Try Holdings PLC ( FRA:3WC ) has a robust order book of GBP4.1 billion, with 98% of work secured for the current financial year.
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The acquisition of Nene Valley Fire & Acoustic Limited is expected to be margin accretive from the first year, enhancing their specialist business portfolio.
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The company maintains a strong cash position with average month-end cash of GBP190 million, up 6.3% from June 2025, and has no bank debts or pension liabilities.
Negative Points
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The Investments business reported an adjusted operating loss of GBP1.1 million, reflecting challenges in this segment.
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The affordable homes market is approximately 18 months behind expectations due to external factors such as planning and funding issues.
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There is a modest revenue growth in the Infrastructure division due to the transition from AMP7 to AMP8, which may impact short-term performance.
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Central costs increased modestly to GBP7.4 million, which is broadly in line with revenue growth but still a concern for cost management.
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The Building Safety Act has caused delays in some projects, particularly in London, affecting the pace of project execution.
Q & A Highlights
Q: When looking at the Infrastructure division, should we expect a more meaningful step-up in revenue growth given the transition into AMP8? Also, how confident are you in progressing margins towards your 2030 targets? A: Kris Hampson, CFO: The order book in the Infrastructure division has increased by about GBP100 million in the last year, and we are optimistic about further growth as AMP8 progresses. We expect margins to continue improving as our design and build businesses are slightly ahead of where we anticipated, and we foresee sustainable growth in line with our strategy.
Q: Regarding affordable housing, once the first contract is secured, should we expect a more significant drawdown from the frameworks secured over the last 6 to 12 months? A: Bill Hocking, CEO: The affordable housing market is about 18 months behind expectations due to various issues, but momentum is building. We expect to sign our first contract imminently and anticipate more to follow. We aim for GBP250 million per annum by 2030, and we believe this target remains achievable.
Q: What is the competitive environment in the doors and fire stopping market, and do you expect significant competition? A: Bill Hocking, CEO: The fire market is fragmented, presenting growth opportunities. Our acquisition of Nene Valley Fire adds critical mass, allowing us to expand geographically and leverage our client base. We see potential for further consolidation and growth within Galliford Try.
Q: Could you discuss the pace of water build-up this calendar year and expectations for H2? Also, what is the visibility of funding for affordable housing? A: Bill Hocking, CEO: The transition from AMP7 to AMP8 in water has been as expected, with momentum building into the second half and strong growth anticipated in '27 and '28. For affordable housing, funding clarity is improving, and we expect frameworks to gain momentum later in the year.
Q: Regarding the Building Safety Act, are you seeing any signs of stalled projects moving forward? A: Bill Hocking, CEO: We have one project in the pipeline, and our submission is fully compliant. We expect it to proceed smoothly, and we believe the regulatory body is effectively managing the pipeline to differentiate compliant projects.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
