Costain Group
PLC
16 May
2024
AGM Trading
Update
Trading in Line with Board
Expectations
Ahead of today's Annual General
Meeting ("AGM"), Costain Group PLC ("Costain" or the "Group")
announces an update on trading for the period 1 January 2024 to
date.
Costain confirms that trading for the period is
in line with Board expectations and the Group continues to have a
high-quality forward work position that aligns with its strategic
plans for both the Transportation and Natural Resources
divisions.
Since the start of the year,
contract wins include:
· bp's Net Zero Teesside Power and Northern Endurance
Partnership joint ventures: to manage onshore CO2
gathering systems for the East Coast Cluster;
· Northumbrian Water: to help shape and deliver its strategic
infrastructure upgrade programme (including AMP8) with the
potential value of up to £670m to Costain during a 12-year
period;
· Thames Water: award of a Design and Build contract to upgrade
two strategic water treatment assets in Berkshire and
Hampshire;
· Transport for London (TfL): two major road refurbishment
projects at Gallows Corner Flyover and Brent Cross Interchange;
and
· Two new framework contracts in the nuclear energy
sector.
The average weekly net cash position
from 1 January to 30 April 2024 was £168.8m (of which £60.4m was
held in joint ventures). The average weekly net cash position for
the same period last year was £122.9m (of which £57.2m was held in
joint ventures).
The Group is in line to deliver
its margin targets of an adjusted operating margin run-rate of 3.5%
during the course of 2024 and 4.5% during the course of
2025. While the Board is mindful of the macro-economic
backdrop, it remains confident in the Group's strategy and medium
to long-term prospects.
As part of the AGM presentation,
Costain will provide a short business update drawing on information
published on 12 March 2024. There will be no new material
information in the presentation further to that of 12 March 2024
and today's announcement.
Enquiries:
Notes to
editors
Costain helps to improve people's lives by
creating connected, sustainable infrastructure that enables people
and the planet to thrive. We shape, create and deliver pioneering
solutions that transform the performance of the infrastructure
ecosystem across the UK's transport, energy, water, and defence
markets.
We are organised around our customers
anticipating and solving their challenges and helping to improve
performance. By bringing together our unique mix of construction,
consulting and digital experts we engineer and deliver sustainable,
efficient and practical solutions.