Galliford Try says Miller integration substantially ahead of plan
Homebuilder and construction outfit Galliford Try saw a solid performance over the six months to 31 December, with unit completions rising 12.5% and the integration of the recently acquired Miller Construction proceeding substantially ahead of plan.
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Some analysts have been concerned over the impact of issues related to Miller's London contracts on the combined group's profitability.
In its pre-close trading update for the full financial year the company said that unit completions at its house-building arm grew by 12.5% to reach 1,529.
Meanwhile, total sales reserved, contracted and completed came in at £645m, just 1.1% below the prior year’s mark despite a lower number of average selling outlets.
The company described the level of its order book for the construction division, which stood at £3.2bn by year-end, as exceptional, after rising from 2013’s £1.75bn.
Galliford also highlighted what it said was a high-quality and diversified client base. A full 59% of its order book was accounted for by the public sector, 21% by the regulated sector and the remaining 20% by the private sector.
Executive chairman Greg Fitzgerald, a well-respected and long-time veteran at the firm, said housing market conditions “remain good” with growth having moderated to more normal levels.
In parallel, its construction business was benefiting from an improving market, Fitzgerald added.
As of 08:57 shares of Galliford Try were advancing 1.54% to reach 1,254p.