Contractor says first half trading is in line with expectations

David Lawther, ISG

ISG has reported a 7% increase in its order book to £761m for the end of October, from £709m the previous year.

In a trading statement to the City this morning, the contractor said trading since its financial year end on 30 June 2012 has been in line with expectations.

The firm said it expected revenues to show “modest growth” over the period, “albeit with margins in the UK remaining under pressure”.

ISG’s revenue rose 9% to £1.28bn and pre-tax profit fell 70% to £3m during the last financial year.

ISG added: “The industry continues to experience challenging economic conditions, particularly in the UK. 

“Our response is to continue to target growth sectors such as data centres, international retail and hospitality, to invest in our overseas businesses and to manage our cost base in areas of contraction or low profitability. 

“We remain confident of meeting the Board’s expectations for the full year, with a bias towards the second half of the year.”