Firm says it expects to make more inroads into debt pile this financial year

Kier has said its order book stands at just under £11bn with 95% of its revenue for the current financial year already secured.

In a trading update, the firm, which has resumed annual dividend payments for the first time in six years, said its order book had gone up £100m to £10.9bn since its year-end on 30 June.

Chief executive Andrew Davies said: “We are well positioned to benefit from UK government infrastructure spending plans into areas where Kier offers market leading services. These strong structural drivers and further investments will allow us to further generate shareholder returns.”

Andrew Davies (1)

Chief executive Andrew Davies said Kier was well-placed to benefit from the government’s spending plans announced in last month’s budget

The firm’s average month-end net debt at the end of its last financial year was £116m, down from more than £500m at its peak, with analysts expecting it to return to a net cash position in early 2026.

In this morning’s update, the firm added: “Kier has maintained its focus on operational delivery and cash management. The group continues to de-leverage in-line with the board’s expectations and anticipates a significant period-on-period improvement.”

Kier, which has taken on around 70 former ISG staff and is being sounded out about taking over some of its public sector contracts, is due to announce its interim results on 11 March.