Balfour Beatty PLC has announced its 2023 full year results, showcasing a solid performance and the delivery of expectations. The company's operational momentum is highlighted, with immediate and mid-term opportunities in focus. Leo Quinn, Balfour Beatty Group Chief Executive, emphasized the group's reliability and resilience, attributing the solid performance to increased revenue and profit from earnings-based businesses, as well as strong operating cash flow. The company's disciplined contract risk management across a geographically and operationally diversified portfolio was noted as a key driver of success in a challenging economic backdrop.
The financial highlights include a 7% increase in revenue to £9.6 billion, with underlying profit from operations from earnings-based businesses up 2% to £236 million. The company reported resilience against economic challenges, with a diversified portfolio providing stability. Notably, Balfour Beatty achieved a 10% increase in recommended full year dividend at 11.5 pence per share and commenced a £100 million share buyback for 2024, with total expected cash returns of approximately £160 million.
The company's strategic focus is on the strong delivery of the order book and significant medium-term growth opportunities. The 2023 order book stands at £16.5 billion, underpinning earnings growth in the current year. Balfour Beatty is also eyeing future opportunities, with a focus on the UK energy, transport, and defence markets, as well as buildings in the US. The company's unique capabilities and complex infrastructure project experience are expected to drive further earnings growth in the coming years.
Balfour Beatty's 2023 full year results reflect a resilient performance, underpinned by consistent cash generation and balance sheet strength. The company's strategic focus on delivering its order book and pursuing significant medium-term growth opportunities positions it for continued success.