Kier Group PLC
LSE:KIE
Kier Group PLC
Kier Group Plc is a non-trading holding company, which engages in the provision of infrastructure services, construction and property developments businesses. The Company’s segments include Construction and Infrastructure Services. The Construction segment delivers for both the public and private sectors through local bases and offers national coverage for its clients and customers. The company serves the key sectors, which includes education, health, justice and defense. The Infrastructure Services segment is focused upon three main markets: Highways, Infrastructure and Utilities. The Highways business designs, constructs and maintains strategic and local authority road networks. The company provides its customers with services including the delivery of emergency response and reactive maintenance as well as critical infrastructure. Its Infrastructure business provides high-value and complex construction and civil engineering projects for sectors including nuclear, roads and rail. Its Utilities business provides the repairs and maintenance of essential services.
Kier Group Plc is a non-trading holding company, which engages in the provision of infrastructure services, construction and property developments businesses. The Company’s segments include Construction and Infrastructure Services. The Construction segment delivers for both the public and private sectors through local bases and offers national coverage for its clients and customers. The company serves the key sectors, which includes education, health, justice and defense. The Infrastructure Services segment is focused upon three main markets: Highways, Infrastructure and Utilities. The Highways business designs, constructs and maintains strategic and local authority road networks. The company provides its customers with services including the delivery of emergency response and reactive maintenance as well as critical infrastructure. Its Infrastructure business provides high-value and complex construction and civil engineering projects for sectors including nuclear, roads and rail. Its Utilities business provides the repairs and maintenance of essential services.
Order book: Record GBP 11.6 billion order book (up 5% from June 2025), covering 94% of FY26 revenue and 78% of FY27, driving multiyear revenue visibility.
Financials: HY26 revenue GBP 2.029 billion (up 2.6%); adjusted operating profit GBP 71 million (up 6.6%); HY margin 3.5% (up 10 bps). Board says full-year expectations unchanged and targets 4.0–4.5% margin.
Cash & balance sheet: Period-end net cash GBP 103 million (vs GBP 58 million at Dec 2024); average net cash for the half GBP 16.8 million — first average net cash in 13 years. Management plans to keep strengthening the balance sheet.
Shareholder returns: Interim dividend increased to 2.6p per share and a new GBP 25 million share buyback launched (after completing GBP 20 million buyback).
Divisional trends: Infrastructure Services growth (revenue GBP 1.083 billion, +4.9%) drove profits; Construction revenue GBP 920 million (-1.3%) with modular transition expected to normalise in H2; Property showing progress toward target ROCE of 15% by FY28.
Adjusting items: Fire and cladding remediation remains an adjusting cost — GBP 10.7 million in the half and management expects around GBP 30 million for FY26, with further spend into FY27 and resolution by end FY28.
Strategy & capabilities: Structural changes (combined infrastructure division, new executive roles), Kier 360 integrated model, digital (Naturally Digital) and a 750-strong in-house design team highlighted as differentiators.
