Carillion and Galliford Try issue positive trading statements and say 2004 results are in line with expectations

Upbeat trading statements from Carilllion and Galliford Try have predicted continued progress in 2005 thanks to growth in PFI and NHS LIFT projects.

Galliford Try announced that it was on course to report record half year profits for the six months ending 31 December.

In its construction division the firm said it would increase profit margins and announced that good progress was being made in securing work in its chosen sectors. It currently has £134m of work on NHS LIFT projects and said it will target more LIFT projects in 2005.

The group also reached financial close on the Caludon Schools PFI and is preferred bidder on the £150m Northampton Schools PFI.

Carillion announced that pre-tax profit for 2004 would be in line with expectations and said that the outlook in its main markets was positive.

The group said that it would make further progress in 2005 and said it had not be hindered by the sale of Carillionn BTP and Crown House in 2004, and the transfer of rail maintenance work to Network Rail.