2 March 2017 | Herpreet Kaur Grewal
Carillion has reported a primarily organic growth in revenue of 14 per cent, according to its financial results for the year ended 31 December 2016.
Its performance, which the company says is in line with expectations, is led by growth in support services. Carillion says support services contributed over two-thirds of total operating profit - more than offsetting expected falls in profit from public private partnership projects and Middle East construction services.
Chairman Philip Green said: "In 2016, Carillion's performance was led by revenue growth and an increased margin in support services, together with good cash flow. Given the size and quality of our order book and pipeline of contract opportunities, our customer-focused culture and integrated business model, we have a good platform from which to develop the business in 2017."
Green added that during 2017 the company plans to "accelerate the rebalancing of our business into markets and sectors where we can win high-quality contracts and achieve our targets for margin and cash flows, while actively managing the positions we have in challenging markets. We will also begin reducing average net borrowing by stepping up our ongoing cost reduction programmes and our focus on managing working capital".