Kier Group says full-year results in line with expectations

Kier Group said full-year trading is in line with expectations, sending shares surging.

The FTSE 250 company said in a trading update on Thursday that the group's underlying performance has remained in line with management's expectations since its last trading update in November.

It has also settled a number of final accounts and improved its working capital performance, which has left net debt ahead of expectations at £175m.

The company said it expects to reduce net debt further, with it at the lower end of previous guidance at 30 June 2016.

It also said its property division has benefitted from a strong development market in its core sectors, while the residential division is expected to generate 30% more revenue than in 2014.

Shares in Kier Group had risen 33p (2.71%) to 1,250p at 1057 GMT.