11 August 2014 – interim results
The group has issued its interim results covering the six months to 27 June and these were in line with the most recent updates. Revenue on continuing operations declined by 3% to £4.2bn although underlying pre-tax profit more than halved to £22m. Earnings per share on the same basis fell 41% to 3.9p although the interim dividend was maintained at 5.6p. This is another disappointing set of results although these had been well-flagged beforehand. Net borrowings before the group’s PPP subsidiaries more than doubled to £364m. The group’s UK business continues to struggle and it is still looking for a new CEO. The picture regarding the shares is clouded by the potential disposal of Parsons Brinkerhoff and the uncertainty surrounding the intentions of Carillion. For the time being the shares are no more than a HOLD.