Balfour Beatty reaffirms outlook after robust start to the year

(Sharecast News) - Construction contractor Balfour Beatty reaffirmed full-year guidance on Thursday, despite a "volatile" macroeconomic backdrop and inflationary pressures.

Updating on trading ahead of its annual general meeting, the 117-year-old infrastructure specialist said the positive momentum seen in its main markets in 2025 had continued into the first four months of the current year.

New work secured during the period included a £138m contract to construct a dual carriageway and two bridges in Lincolnshire, and a $140m order for a high school in California.

It also flagged "strong" growth and operational performance in its power transmission business, which is delivering new transmission schemes for National Grid, SSEN and Scottish Power.

As a result, Balfour confirmed it continued to expect high single-digit percentage growth in profit from operations from its earnings-based businesses in 2026.

"The group's contract mix continues to provide strong protection from the volatile macroeconomic backdrop and related inflationary pressures," it noted. "The group continues to apply a disciplined and selective bidding approach in pursuit of high-quality, low-risk forward order book, which at the end of the first quarter remained in line with the year-end position."

As at 0900 BST, the FTSE 250 stock was up 1% at 868.49p.

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