Rain

Rain

max temp: 26°C

min temp: 17°C

ESTD 1874 Search

East Anglia: May Gurney takeover has helped “transform” the services business of Kier

15:55 27 February 2014

Kier signage at the former May Gurney headquarters.

Kier signage at the former May Gurney headquarters.

Bosses at construction group Kier today said they were pleased with the progress of a merger with May Gurney after revealing it had helped boost operating profits by 96%.

shares

May Gurney shareholders overwhelmingly backed a £221million takeover of the EDP/EADT Top 100 firm by Kier last year, marking the end of the road for the Norfolk-based firm as a separate entity.

Announcing Kier’s interim results for the six months to December 2013, chief executive Paul Sheffield, said: “We are pleased with the performance of the May Gurney business which is operating in line with our expectations. The acquisition has consolidated the group’s position in support services, providing a range of complementary services to clients in the highways, transport and utilities sectors.

“The integration remains on course, with good customer retention, new extended contracts and revenue synergies. We are on track to deliver the anticipated £5m cost savings in this financial year. The construction and Property divisions continue to strengthen.”

Group revenue for the six months ended December 31 increased by 47% to £1,432m and underlying operating profit increased by 96% to £44.4m.

On a like-for-like basis group revenue was up 12% at £1,094m and underlying operating profit up 34% at £30.4m. Pre-tax profits rose from £19.4m to £36.8m.

Mr Sheffield said the group delivered a good set of results in a “competitive trading environment and in a period of significant change for the business”.

The acquisition of May Gurney has transformed the scale and diversity of the services business, creating a division that now has annual revenue of over £1.0bn and has a market-leading position in a number of support services sectors. The group now provides local authorities with access to an unrivalled range of outsourcing options and our ability to offer a broader range of capabilities has significantly increased.”

shares

0 comments

Dame Fiona Kendrick:, chief executive of Nestlé  UK & Ireland

Food giant Nestlé has announced plans to close its defined benefit pension scheme, sparking the threat of industrial action.

The installation of solar panels on the roof of Precision Marketing Group's premises in Lamdin Road, Bury St Edmunds

A Suffolk-based firm will be among the organisations taking part in a nation-wide celebration of solar energy tomorrow.

Candy Gaga'’s Wanda Hewell, right, and daughter, Cherish.

Tower Ramparts in Ipswich now has its very own castle – thanks to the success of a local sweet shop business.

Stansted Airport

A report into the future of Britain’s airports does not rule out a second runway at Stansted – and raises fears of extra night flights to the Essex airport.

The Treasury has sold another 1% stake in Lloyds Banking Group.

The taxpayers’ stake in Lloyds Banking Group has fallen to below 16% after the Government sold off another tranche of shares.

Growth in manufacturing eased last month  to its slowest level in two years.

Britain’s manufacturing sector grew at its slowest pace in more than two years last month, impacted by subdued demand from Europe.

Speedy Hire
 has warned that its results for this year will come in

Tool rental business Speedy Hire saw nearly a third of its stock market value wiped off after it announced the shock departure of its chief executive and warned over a major blow to full year profits.

Greene King chief executive Rooney Anand.

Pubs and brewing group Greene King today posted another year of record revenues, with sales within its key Retail division topping £1billion for the first time.

Suffolk Coastal considers convenience store bid

Planning chiefs have responded to concerns about noise and antisocial behaviour arising from proposals for a new convenience store in Kesgrave by insisting on closing times being brought forward an hour and the installation of a barrier to restrict overnight parking.

Tim Dunford, managing director and master brewer at the Green Jack Brewery, third from left, with Beer for Summer judges Mark Dorber, left, and Charlie McVeigh of The Draft House, right, and Peter Gordon, on trade director of Budweiser Budvar.

A Suffolk brewing company is celebrating after winning a new national “Beer for Summer” competition.

Most read

Most commented

Topic pages