Costain secured a number of significant new contracts wins during 2011, including contracts for Northumbrian Water AMP5 and Severn Trent. In addition, the Group also has a strong preferred bidder position at circa £400 million.
Andrew Wyllie, Chief Executive, commented:
“We have continued to benefit throughout this year from the implementation of our ‘Choosing Costain’ strategy, which has been to focus on blue chip customers in chosen sectors whose major spending plans are underpinned by strategic national needs, regulatory commitments or essential maintenance requirements.”
The Group made two acquisitions during the year. ClerkMaxwell, the front end engineering support services provider acquired in April, and Promanex, the industrial support services business acquired in August. Costain said both companies were performing well.
There has been no material change in the financial position of the Group, which has a strong cash position of in excess of £100 million and no significant borrowings.
Recently, the Group further enhanced and extended its contract bonding and banking facilities with its relationship banks and surety companies. The facilities were increased by £30 million to £465 million and extended by two years to September 2015. Costain said the facilities would ensure that the Group had the necessary financial resources to capitalise on market opportunities as they arise and achieve its medium term objectives.
The company will announce its preliminary results for the year ended 31 December 2011 on Wednesday 7 March 2012.