The construction and infrastructure giant reported a 7% rise in profit from operations in its earnings-based businesses to £108 million, supported by a record-quality £19.5 billion order book and sustained cash generation. The company’s balance sheet strength and pipeline of major UK projects are expected to drive further growth into 2026 and beyond.

In the first half of 2025, Support Services delivered a 35% profit uplift, driven by the power transmission business. UK Construction achieved its long-standing 3% margin target a year ahead of schedule, while US Construction saw strong growth in its Buildings division, though Civils performance was impacted by cost overruns on one project.

The group is also positioned to benefit from a decade-long £20bn pipeline of UK infrastructure projects, including Sizewell C and major power transmission schemes, closely aligned to its specialist capabilities.

Balfour Beatty continues to reward shareholders, increasing its half-year dividend by 11% to 4.2 pence per share and returning £188m so far in 2025. Average net cash rose to £1.1bn, reinforcing the company’s ability to sustain attractive shareholder returns.

With momentum building in its core markets and a high-quality order book, Balfour Beatty says it remains confident of meeting its 2025 targets, while setting the stage for further earnings growth in 2026.

Leo Quinn, Balfour Beatty group chief executive, said: “Our continuing strong cash generation is underpinned by a growing order book with improved margins and lower risk contract forms. This provides the Board with increasing confidence in significant future cash generation that supports our ongoing dividends and share buybacks. This is demonstrated by the momentum in our key growth areas in the first half.

“Support Services has delivered a 35% profit uplift driven by the power transmission business, UK Construction has achieved its long-standing 3% margin target earlier than expected and, in US Construction, Buildings reported strong revenue growth from its strategy of focused expansion. Furthermore, recent UK Government announcements confirm a deep pipeline of major infrastructure projects which closely align with the Group’s unique expert capabilities and will further enhance the quality of the future order book. Balfour Beatty’s market leading positions and ongoing success are a testament to the expertise, dedication and hard work of our people.”