Kier’s purpose is to sustainably deliver infrastructure which is vital to the UK.
We are a leading provider of infrastructure services, construction, and property developments. We are committed to delivering for communities and leaving lasting legacies through our work.
Investment proposition
Creating value for the long-term sustainable growth plan
£4.0bn
Revenue
£167.2m
Net cash
£150.2m
Adjusted operating profit
£10.8bn
Order book
£185.9m
Free cash flow generation
+400
Live projects
Value accretive earnings-led business model
- Aligned to the UK Government’s infrastructure investment priorities which are critical to the future economic growth of the UK
- Integrator with design, project management, engineering, logistics, supply chain management and ongoing maintenance capabilities
Attractive market positions
- Attractive market positions in growing markets
- Focused on UK markets in Infrastructure Services, Construction and Property
- Delivery capability at both national and regional levels in the UK
- Property development capability
Strong order book underpinned by frameworks
- Established position in core markets underpinned by long-term contracts and framework agreements
- Order book of £10.8bn
- We have places on agreements with an advertised value of up to £144bn across all of our core markets covering both national and regional geographies and market sectors
- Contracts across a number of sectors including healthcare, education, justice and borders, rail, water, nuclear defence, and the private sector
- Contracting with the UK Government, regulated and blue-chip clients
- Long-standing customers and supply chain relationships
Management team with expertise and track record of delivery
- Proven track record of operational and financial delivery
- Successfully executed an ambitious self-help programme and right- sized the business
- Operating framework embedded in organisation to manage risk
- Commercial and financial discipline in quoting new contracts and capital allocation
- Continuing focus on sustainable growth, business improvement and managing costs
Our strategic framework
Our strategy focuses on leveraging our attractive market positions to sustainably deliver infrastructure which is vital to the UK.
Long-term sustainable growth plan
Following the significant progress of the Group over the last three years, the Group is now focused on driving long-term shareholder value through our evolved targets to FY30.
Revenue:
GDP + growth through
the cycle
Adjusted operating profit
margin:
3.5%+
Cash conversion of operating profit:
c.90%
Balance sheet:
Average month-end net cash with investment of surplus cash
Dividend:
Sustainable dividend policy:
c.3 x earnings cover through the cycle
We have four objectives to deliver on our strategic actions:
Objective 1
Leverage our attractive market share positions in growing markets
Why this is vital
Supports the UK Government and asset managers to deliver much-needed UK infrastructure, particularly areas impacted by historical underinvestment and the decarbonisation agenda such as water, environment, energy, affordable housing and housing maintenance
Objective 2
Maintain and enhance long-term customer relationships
Why this is vital
Delivers long-term capital and maintenance of assets for our customers including supporting them to achieve their environmental and social commitments
- Maintain and enhance the Group’s relationship with the UK Government, regulated and blue-chip client base
- Operating under long-term frameworks, which require strong client relationships and sector expertise
Objective 3
Resilient and well-balanced portfolio
Why this is vital
- It enables the Group to reduce risk and maximise opportunities
- Unlocks synergies from integrated business
- Enables a platform to attract and retain people talent
- Supports with supply chain relationships
Objective 4
Deliver disciplined growth, consistent profitability and cash generation
Why this is vital
Disciplined growth, consistent delivery and generation of cash leads to a sustainable business
