Half-year profit hits £13.5m, although construction group warns rate of growth cannot be maintained for rest of the year
Henry Boot has increased half-year profit by 74% to £13.5m although the group warned that it would not be able to maintain that level of growth for the rest of the year.
The property and construction group said that revenue had dipped slightly in its construction business. It blamed delays in new framework contracts and Home Office prison work starting on site.
Group revenue increased from £42.4m to £50.7m in the six months to 30 June 2006. A property revaluation accounted for £2.6m of the profit meaning that underlying interim profit increased by 60%.
Henry Boot said that property demand in the retail and warehousing sectors was particularly strong and it said rentals from investment properties increased by 14%.
Contract wins included selection as one of four partners on the £272m Decent Homes refurbishment programme for 2012 Rotheram Ltd. The group said it had also started work on ‘Stop 24’ the largest service station in the country on the M20.
Dividends at the group rose 10% to 5.4p per share.