Daily Newsletter

23 August 2024

Daily Newsletter

23 August 2024

Costain’s H1 2024 revenue falls by 3.8% to £639.3m 

The company’s reported operating profit for H1 2024 increased to £13.9m, up from £7.6m in H1 2023.

Upasana Mukherjee August 22 2024

Costain has reported a revenue of £639.3m ($838.39m) for the first half (H1) of 2024, down 3.8% from £664.4m in the same period last year.  

This decrease was due to growth in the Natural Resources segment and a reduction in Transportation. 

Operating profit for the first six months ending 30 June 2024 increased to £13.9m, up from £7.6m in H1 2023.  

Adjusted operating profit also rose 8.7% to £16.3m, compared to £15.0m in H1 2023, reflecting improved operating margins in Transportation and higher volumes and margins in Natural Resources. 

The company’s profit before tax was £17m in H1 2024, up from £8.5m in H1 2023.  

Net finance income also increased to £3.1m from £0.9m in H1 2023, driven by higher interest income from increased bank deposits and lower bank charges. 

Basic earnings per share (EPS) grew to £5 in H1 2024, compared to £1.90 in H1 2023.  

Meanwhile, diluted EPS increased to £4.90 in H1 2024, from £1.80 in H1 2023. 

Costain CEO Alex Vaughan said: “We are performing strongly and are progressing with our strategic priorities in our chosen growth markets, including broadening our customer and service mix. In the first half we have delivered a further significant increase in operating profit together with a sharp growth in earnings per share.  

“The net cash balance grew to £166m, adjusted operating margin increased as expected, and due to the quality of our earnings, we remain on track to deliver our margin targets during FY24 [financial year 2024] and FY25.” 

The company aims to achieve an adjusted operating margin run rate of 3.5% in FY24 and 4.5% in FY25, with a goal of exceeding 5.0% in the future. 

This comes after Costain was granted a multimillion-pound contract to lead the front-end engineering and design process for a new hydrogen pipeline network in Teesside, UK, earlier this month. 

Uncover your next opportunity with expert reports

Steer your business strategy with key data and insights from our latest market research reports and company profiles. Not ready to buy? Start small by downloading a sample report first.

Newsletters by sectors

close

Sign up to the newsletter: In Brief

Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Thank you for subscribing

View all newsletters from across the GlobalData Media network.

close