Costain looks to blue chip firms to sustain growth

Ahead of its AGM today Costain has said it will continue to concentrate on winning work from “blue chip customers”.

In a statement released updating the market on its performance so far this year, Costain said it is continuing to benefit from focusing on blue chip firms whose spending plans are “underpinned by strategic national priorities, regulatory commitments or essential maintenance requirements”.

The firm is currently implementing a plan to expand across construction, design and engineering and operations. The move is an attempt to spread revenue across a wider spectrum of sectors.

The statement said: “As a result of a number of significant new contract awards since the beginning of the year, the group has maintained its order book at the record year-end level of £2.6bn. In addition, it has preferred bidder positions of over £600m, ahead of the level at the end of 2009.”

Big wins this year have included a five-year £115m managing agent contractor deal for road works in the North-east. It is also one of the delivery partners on the Highways Agency's national framework contract which involves up to £2bn of motorway work.