Van Elle revenues 'significantly increased' in H1

Ground engineering contractor Van Elle Holdings said on Friday that strong activity levels had continued in most divisions during the six months ended 31 October, leading to "significantly increased" revenues of approximately £60.0m.

Van Elle said interim were up 56% year-on-year and also represented a return to growth over pre-Covid revenue levels, with run rates exiting the period showing good capacity usage across all divisions.

As expected, Van Elle stated a recovery in rail volumes continued to lag its other segments, with residential construction showing the highest activity levels. Encouragingly though, the group said its rail business saw an improvement in enquiries and contract activity towards the end of the half.

However, while the AIM-listed group noted that it had continued to experience the effects of industry-wide supply chain challenges, salary inflation and short-term employee availability, Van Elle added that said challenges continued to be mitigated at an operational level.

"The board is pleased with the progress delivered in the first half of the year and continues to be confident that FY22 full-year performance will be in line with market expectations," said Van Elle.

As of 1125 GMT, Van Elle shares were up 3.98% at 44.19p.