RNS Number : 9752E

Galliford Try PLC

11 June 2012

GALLIFORD TRY JOINT VENTURE AWARDED GBP180 MILLION WASTE WATER SCHEME

Galliford Try, the construction and housebuilding group, announces that it has, in joint venture with Costain Group plc and Atkins (WS) plc, reached financial close on the GBP180m contract awarded by United Utilities Group plc to upgrade and extend Liverpool Waste Water Treatment Works and announced in May 2011.

The project involves the construction of a two-storey sequential batch reactor plant in the disused Wellington Dock, as well as upgrades to the existing works in the adjacent Sandon Dock to the north of Liverpool city centre.

The Galliford Try joint venture was appointed by United Utilities to work on its AMP5 schemes in April 2010 and the scheme, under development since May 2011, will be progressed as part of existing framework arrangements.

Greg Fitzgerald, Chief Executive of Galliford Try, commented:

"We are delighted to secure this business from an existing framework client. It builds on our track record of delivering both clean and waste water infrastructure projects."

DIRECTORATE CHANGE
19 JUNE 2012

GALLIFORD TRY PLC
GRAHAM PROTHERO APPOINTED GROUP FINANCE DIRECTOR


Galliford Try plc, the housebuilding and construction Group, has appointed Graham Prothero to join the Board of Directors as Group Finance Director and he will join the Company following handover at his current business. As previously announced in November 2011 the current Group Finance Director, Frank Nelson, will retire from the Board at the end of September 2012 when he will have completed 25 years of service.

Graham Prothero joins Galliford Try from Development Securities PLC, a property developer and investor in the UK where he has been Finance Director since November 2008. Graham is a director of Development Securities PLC and Development Securities (Investments) PLC. From 2001 until 2008 Graham was a partner with Ernst & Young. Graham is a member of the Institute of Chartered Accountants in England and Wales and has previously held positions as Finance Director at Blue Circle Properties and Taylor Woodrow's UK Housebuilding.

Greg Fitzgerald, Chief Executive, Galliford Try commented:

"I am delighted that Graham is joining us as Group Finance Director. Graham has considerable financial experience in the property and housebuilding sectors and accordingly he will be a valuable asset to the Group as we continue to further develop the business. I would also like to express my sincere thanks to Frank Nelson on his significant contribution to the Group over the last 25 years."

A further announcement concerning the date of Graham Prothero's joining the Board will be made in due course.

There is no other information to be disclosed under Paragraph 9.6.13R of the Listing Rules.

12 month high 656p.

Trading Statement

HIGHLIGHTS

· Exceeded the objectives of our three year transformational housebuilding plan.

· Full year results expected to be in line with market expectations.

· Net cash of over £20 million at 30 June 2012 (31 December 2011: net debt £70 million and 30 June 2011: net cash £37 million).

Housebuilding

· Housing completions (including joint ventures) up 40% to a record 3,039 units (2011: 2,170 units).

· Average private sales price up 10% to £250,000 (2011: £227,000).

· 11% increase in housing sales carried forward at £273 million (2011: £247 million).

· Increase in total landbank to 10,500 plots (30 June 2011: 10,250 plots), with a greater concentration of plots in the stronger south east in line with our strategy.

· 81% of 10,500 plot landbank secured at current market values. 100% of plots secured for the new financial year's production. 87% of plots secured for FY 2014.

Construction

· Continued resilient performance in difficult markets.

· £1.6 billion stable order book in line with expectations (31 December 2011: £1.6 billion and 2011: £1.75 billion).

· Strong cash management throughout the year with cash balances in line with our expectations.

· Major contract awards instructed include the £347 million Gateshead Regeneration Programme, the £180 million scheme to upgrade and extend the Liverpool Waste Water Treatment Works and the £80 million Kingskerswell Bypass contract.

· 82% of projected revenue for the new financial year secured (2011: 80%).

GALLIFORD TRY ANNOUNCES £100 MILLION OF AFFORDABLE HOUSING DEALS

Firstly, the Partnerships business has finalised a contract on the Gallions Quarter development in East London, following its selection as preferred developer in July 2011. The £23 million contract will see Galliford Try construct 170 homes in the second phase of the 700-home development, which also includes commercial and retail premises as part of a major regeneration programme of the area commissioned by the London Development Agency.

Secondly, mayoral approval has been granted for the £52 million redevelopment of the old St Clement's hospital site in Mile End, East London. The contract provides for a minimum of 223 homes, including provision of 21 homes to be granted to London's first Community Land Trust, as well as a further 54 affordable homes. The remaining 148 homes will be sold via the Linden Homes brand.

Final Results

Highlights

Financial....... 2012............2011.............Increase

· Group revenue¹....£1,504m......£1,284m............17%

· Profit before tax..£63.1m........£35.1m ²............80%

· Earnings per share..60.9p........32.2p ²..............89%

· Dividend per share..30.0p........16.0p................88%

Group

· Exceeded objectives of three year transformational plan, delivered substantial increase in profits and return on capital
· 2012 PBT increased by 80%, EPS by 89%
· Strong balance sheet with year end net cash of £23 million, providing platform for future growth
· Disciplined growth strategy supporting progressive and sustainable dividend policy

Housebuilding

· 40% increase in completions (inclusive of joint ventures) to 3,039 (2011: 2,170)

· 11.8% housebuilding margin shows strong progress (2011: 8.1%)

· Following a resilient summer performance 7% increase in sales currently reserved, contracted or completed at £350 million (2011: £328 million)

· 81% of 10,500 plot landbank now acquired at current market values (2011: 72% of 10,400)

· 100% of land required for 2013 financial year in place, 90% of land secured for 2014

Construction

· Despite difficult markets 2.0% construction margin remained robust (2011: 2.4%)

· Year end construction cash balance of £146 million in line with forecast (2011: £217 million)

· Stable current order book at £1.65 billion (2011: £1.7 billion) with continued focus on contracts with acceptable returns

· 86% of current year's planned revenue secured (2011: 90%)

Galliford Try sparkles
Tue 18 Sep 2012

GFRD - Galliford Try



LONDON (SHARECAST) - House-building and construction firm Galliford Try saw profits soar last year, paving the way for its full-year dividend pay-out to almost double.

Group revenue in the year ended June 30th rose 17% to £1,504m from £1,284m the year before.

Profit before tax surged 80% to £63.1m from £35.1m the previous year, while earnings per share jumped 89% to 60.9p from 32.2p last year. The divi rose in line with earnings, from 16p to 30p.

The current order book is more or less stable at £1.65bn, versus £1.7bn at the end of June 2011.

"Against a background of challenging and uncertain economic conditions I am very pleased to report that we have exceeded the objectives of our three year transformational housebuilding plan, delivering a substantial increase in profits and return on capital. In addition, we have maintained a high quality construction order book," said Greg Fitzgerald, the firm's Chief Executive.

"We have a strong balance sheet and a disciplined growth strategy with a clear focus on improving margins that positions us well to deliver further profitable growth in the new financial year and beyond," he added

GALLIFORD TRY AGREES CONTRACT FOR £89 MILLION LEISURE COMPLEX

Galliford Try plc, the housebuilding and construction group, announces that it has reached financial close with Genting UK to build a major new leisure and retail development at the National Exhibition Centre in Birmingham.

The Resorts World project, valued at £89 million, includes a new casino, a 176-bed four/five-star hotel and spa, conference facilities, a factory outlet centre, a cinema complex, food and beverage retail space and parking for 480 cars. The scheme is set to start on site in October 2012 with completion expected in January 2015.

Galliford Try Chief Executive Greg Fitzgerald said: "This contract represents a significant success for our business in a difficult market for construction. We are delighted we have completed a successful negotiation with Genting UK and now look forward to starting on site on what will be one of the most prestigious projects in the Midlands of recent times."

Interim Management Statement

Highlights

Housebuilding

· 7% growth in sales reserved, contracted or completed to £460 million following an encouraging autumn selling season which has been maintained in recent weeks (2011: £430 million).

· Sales per outlet maintained at 0.51 per week from 1 July 2012 (2011: 0.50), averaging 0.62 during the autumn selling season. Selling outlets maintained at 83 (2011: 82).

· Sales prices slightly ahead of expectations. Cancellation rates stable at 17%.

· 81% of 10,500 plot land bank (2011: 73% of 10,500 plots) secured at current market values. 94% of land secured for financial year to 30 June 2014.


Construction

· More opportunities apparent albeit pricing levels remain competitive.

· Cash balances remain robust.

· Stable £1.6 billion order book in line with expectations (2011: £1.6 billion) with a number of key projects wins in the period in both the private and public sector.

· 92% of projected revenues for financial year to 30 June 2013 secured with 55% for year to 30 June 2014 (2011: 95% and 58% respectively).

Group

· The Group has a strong balance sheet providing a good platform for future growth.

· In September 2012 Galliford Try was admitted to the FTSE4Good Index recognising the Group's commitment to environmental, social and governance matters.

Re Contract

Galliford Try plc, the housebuilding and construction group, announces that its Construction Division has been appointed to four new contracts worth £55 million in aggregate.

Firstly, St Hugh's College, part of the University of Oxford, has selected Galliford Try to build the £16.7 million China Centre. The new building will house an interdisciplinary research centre focused on all aspects of Chinese culture, including teaching facilities, a library, catering facilities and 62 study bedrooms for students. The contract has been partly funded by a £10 million donation from the Hong Kong-based philanthropist Dickson Poon CBE, with the centre carrying his name.

Secondly, Galliford Try has been awarded the £16.3 million contract to build the new five-star Gainsborough Hotel in Bath by developers YTL. The hotel, situated in a grade two listed building, will feature 99 bedrooms and include a health spa and conference facilities.

Thirdly, Galliford Try Partnerships has reached financial close on a £20 million contract to construct a new Extra Care facility in Stone Road, Stafford on behalf of Staffordshire County Council and The Wrekin Housing Trust. The project provides for Flexicare apartments, specialist care facilities, and the provision of a GP surgery and health centre.

Finally, Gloucestershire County Cricket Club has instructed Galliford Try to carry out major improvements to the international cricket ground at Nevil Road in Bristol. Works include a new media centre as well as conference and banqueting facilities in a contract worth £5 million. As part of the project 147 new homes will also be created on the site by Galliford Try's housebuilding arm Linden Homes.

Galliford Try Chief Executive Greg Fitzgerald said: "We are delighted to have won four such significant contracts in an extremely competitive market. These contract awards show that we can compete in different sectors and different regions across the country and provide our clients with high quality cost effective solutions for their needs."

Re Contract

GALLIFORD TRY WINS £100 MILLION MANCHESTER REGENERATION PROJECT

Galliford Try plc, the housebuilding and construction group, announces that S4B, the Equitix-led partnership that includes Galliford Try and Contour Homes, has been appointed as preferred bidder for the £100 million Brunswick regeneration scheme.

The regeneration programme will transform the Brunswick area of East Manchester, providing 522 new homes as well as new community facilities, including an Extra Care centre and retail units. Additionally, extensive infrastructure works and remodelling will be carried out.

Leading repairs and maintenance contractor Mears will refurbish a further 653 homes and provide ongoing facilities management services under the project.

Trading Statement

Group

· Half year profit anticipated to be above board expectations.

· Net debt of £60 million, improvement on last year (2011: £69.8 million).

Housebuilding

· Revenue is expected to be up on last year on a combination of record 1,364 unit completions, 1,229 net of joint venture partners' share (2011: 1,352 and 1,216) and an increase in the average selling price of our properties.

· 4% increase in total sales reserved, contracted and completed at £544 million (2011: £522 million).

· Stable unit sales per outlet per week at 0.46 (2011: 0.45).

· 83% of 10,400 plot landbank now secured at current market values (31 December 2011: 75% of 10,400). 96% of land secured for 2014.

· Operating margin expected to be up on full year with continued industry leading return on capital.


Construction

· 99% of projected revenue for current financial year secured with 62% for year to 30 June 2014 (31 December 2011: 100% and 62% respectively).

· Stable £1.6 billion order book in line with expectations as we continue to manage risk and moderate turnover (2011: £1.6 billion).

· 40% of order book in regulated sector, 42% in public and 18% in private maintaining a high quality and diverse spread of future revenues (2011: 41%, 45% and 14% respectively).

Galliford Try dropped from £20m arena in Birmingham

Galliford Try has been dropped at the last minute from a £20m contract to refurbish the National Indoor Arena in Birmingham.

Client the National Exhibition Centre named Galliford as preferred bidder last September following a formal tender race.

But both sides have been unable to agree a final price and have parted company.

Galliford Try confirmed the original price as £18m.

GALLIFORD TRY SELECTED FOR £60 MILLION OF AFFORDABLE HOUSING CONTRACTS

Galliford Try plc, the housebuilding and construction group, announces that its Partnerships business has been named as preferred bidder for several projects in the affordable housing sector which together total in excess of £60 million.

Housing association Affinity Sutton has named Partnerships as preferred bidder for the Hampstead Reach project in north London, which will see the creation of 80 mixed tenure homes and commercial units under a £15.6 million contract.

Half Yearly Results

Financial
H1 2013

H1 2012
· Group revenue¹
£678.3m
£746.8m
· Profit before tax
£32.3m
£32.2m
· Net debt
£58.2m
£69.8m
· Earnings per share
31.3p
31.1p
· Dividend per share
12.0p
9.0p

Group

· Strong half year results, on track for full year.
· Net debt of £58.2 million (H1 2012: £69.8 million).
· Disciplined growth strategy with a focus on margin improvement.
· Dividend up 33%, continuation of progressive dividend policy.

Housebuilding

· Record number of total completions at 1,364 units; 1,229 units net of joint venture partner share (H1 2012: 1,352 and
1,216 respectively).

· 12.1% housebuilding margin showing good progress (H1 2012: 12.6% reducing to 11.0% after excluding a significant
land sale profit of £6.9 million).

· 5% increase in total sales currently reserved, contracted and completed at £638 million (H1 2012: £605 million).

· 100% of plots for planned production in 2013 and 2014 secured with 65% secured for 2015, 84% of our 10,700 plot
landbank acquired at current market values (H1 2012: 76% of 10,700).

Construction

· Construction margin of 1.9% in line with expectations in a continuing difficult market (H1 2012: 2.2%).

· Maintained focus on contracts with acceptable returns. Stable order book at £1.6 billion (H1 2012: £1.6 billion),
underpinned by strength in long term frameworks. 100% of 2013 projected revenues have been secured, with 65%
secured for 2014 (H1 2012: 100% and 67% respectively).

· Construction cash balance of £137 million in line with forecast (H1 2012: £149 million).

GALLIFORD TRY SECURES SIGNIFICANT REGIONAL BUILDING CONTRACTS TOTALLING OVER £60 MILLION

Galliford Try plc, the housebuilding and construction group, announces that its Building business has secured four new contracts predominantly in the south east of England and worth in excess of £60 million.

Firstly, Galliford Try has been contracted by Muse Developments to build the second phase of the Chatham Place regeneration scheme in the centre of Reading. The development is worth £24 million and will see the creation of two new apartment blocks containing 184 homes, 2055 sq ft ground floor retail space, an urban garden accessible to the public, and other public realm improvements.

Secondly, LHA London Ltd has contracted Galliford Try to build its latest hostel facilities for young working people and students at Torquay Street in London. The £13 million project will see the creation of 158 micro-flats with appropriate communal facilities.

Thirdly, Lothbury Investment Management Limited has selected Galliford Try to build 24,500 sq ft of office space at 55 St James's Street in London. The commercial development will include a basement and residential level on the sixth floor when completed in January 2015.

Finally, Galliford Try Building and English Cities Fund have reached financial close for the £13.5 million E3 Salford regeneration project in Chapel Street, Salford. The development will create 97 homes for private sale with additional retail units.

Chief Executive Greg Fitzgerald commented: "We are delighted to have won these four contracts so soon after our recent regional successes in Manchester. These awards reconfirm that we are securing contracts in line with our strategy across the country. The South East in particular remains a key market for us and we look forward to working with all our partners going forward to deliver these important schemes for each of them."

Trading Statement

Group

· Record full year results, in line with the current market consensus.
· Modest net debt of less than £20 million at 30 June 2013. (31 December 2012: net debt £58 million and 30 June 2012: net cash £23 million).

Housebuilding

· Record total landbank of 11,300 plots up 8% (30 June 2012: 10,500 plots).
· Record £313 million year end sales carried forward position up 15% (2012: £273 million).
· Average private sales prices up 5% to £262,000 (2012: £250,000).
· Revenue in line with last year on completions (including joint ventures) of 2,932 units (2012: 3,039 units). During the second half of the year sales rates averaged 0.64 per site per week (H2 2012: 0.55 per week).
· Strong progress on margin to circa 13% (2012: 11.8%).
· 86% of landbank secured at current market values. 100% of plots secured for the new financial year's production and 87% of plots secured for FY 2015.

Construction

· Solid performance in a continuing difficult market.
· Stable order book of £1.65 billion (31 December 2012: £1.6 billion and 30 June 2012: £1.65 billion).
· Strong cash management throughout the year, with cash balances at similar levels to last year.
· All business units experiencing an increase in opportunities albeit pricing remains challenging. Major contract awards include the £89 million leisure and retail development in Birmingham and the £52 million redevelopment of the old St Clements Hospital site in East London. We were also recently reappointed to the Environment Agency's four year water and environment management framework and to the new Manchester Airport Group framework.
· 82% of project revenue for the new financial year secured (2012: 82%).

Re Contract

GALLIFORD TRY APPOINTED TO £35 MILLION SECOND PHASE OF HMP PARC PRISON REDEVELOPMENT

Galliford Try plc, the housebuilding and construction group, announces that its Building business has been appointed by Bridgend Custodial Service Limited in co-operation with G4S Care and Justice Services (UK) Limited and the Ministry of Justice ('MoJ') to build the second phase of the HM Prison & Young Offenders' Institution Parc in Bridgend, South Wales.

The £35 million contract will involve the creation of a new house block containing 216 cells that will accommodate 387 prisoners. In addition a new two storey industrial workshop and education building will be built along with a visitor centre and gatehouse. A new 350 space car park, extended perimeter walls and security fencing will also be created.

Galliford Try Chief Executive Greg Fitzgerald commented: "We are delighted to have been selected again by G4S and the MoJ following the successful completion of phase one at HMP Parc. This contract demonstrates the difference our proactive approach to partnering with our clients and delivering their requirements makes in a competitive market place."

Re Contract

GALLIFORD TRY'S PARTNERSHIPS BUSINESS APPOINTED TO TWO HOUSING CONTRACTS IN EAST LONDON TOTALLING £60 MILLION


Galliford Try plc, the housebuilding and construction group, announces that it has secured two housing contracts in East London worth a combined £60 million. Both involve delivering housing schemes for registered provider Peabody.

The first scheme will involve providing the £35.4 million first phase of a four-phase development at Devon's Road in Bow which will initially create 259 mixed-tenure homes. The works also include 1585sqm of commercial space, associated external works and landscaping.

The second project involves the redevelopment of the former Plaistow Hospital site in Newham to celebrate Peabody's 150th year. The £24.9 million project will enable the realisation of the winning design in an international competition which Peabody ran to celebrate its milestone anniversary. The scheme will consist of 168 mixed tenure homes, and extends to the restoration of historic hospital buildings and creation of new-build homes at the site. The scheme is expected to achieve Code for Sustainable Homes Level 4.

Galliford Try Chief Executive Greg Fitzgerald commented: "We are delighted to have once again demonstrated the strength of our offering in London as an affordable housing contractor. We look forward to working with Peabody to realise their vision for these two major schemes in East London."

Final Results

Highlights

Financial 2013 2012 Change

· Group revenue¹ £1,467m £1,504m - 2%
· Profit before tax £74.1m £63.1m +17%
· Earnings per share 71.7p 60.9p +18%
· Dividend per share 37.0p 30.0p +23%
· Group return on net assets² 16.6% 15.1% +1.5ppts

Group

· Record profits achieved through successful execution of strategy
· Record earnings per share, increasing by 18% to 71.7p
· Return on net assets improved to 16.6%
· 23% increase in full year dividend payment reflecting our strong financial position and the board's confidence in the future
· Modest net debt of £14.4 million at 30 June 2013 (2012: net cash of £22.5 million)

Housebuilding

· Strong margin performance with 11% increase in housebuilding operating margin to 13.1% (2012: 11.8%)
· Revenue in line with last year despite a small reduction in the number of completions (inclusive of joint ventures) to 2,932, consistent with our focus on developments offering superior returns on capital (2012: 3,039)
· Strengthening market demand, assisted by the Government's Help to Buy scheme and greater availability of funding, supports 16% increase in sales currently reserved, contracted or completed at £405 million (2012: £350 million)
· Record 11,300 plot landbank with 86% now acquired at current market values (2012: 81% of 10,500). Good performance from strategic land
· 100% of land required for 2014 financial year in place, 90% of land secured for 2015

Construction

· Order book maintained at £1.7 billion (2012: £1.65 billion) with pipeline of opportunities increasing
· In continuing challenging market conditions, a robust construction margin of 1.7% in line with our expectations (2012: 2.0%)
· Strong cash management with a year end construction cash balance of £145 million (2012: £146 million)
· 87% of current year's planned revenue secured (2012: 86%)