SCOTT WILSON'S share price rose by 7p this week after the announcement of the group's annual results - its first as a listed company.
The share price was 216.25p as NCE went to press, up from 209.5p on Thursday and well up on the flotation price in March of 158p. Group revenues increased from £160M to £185.9M for the year end April 2006. Profit before tax increased by 34.2% to £10.4M from £7.8M in 2005. The operating margin rose from 4.8% to 5.6%.
'We've had the best year in our history, ' said Scott Wilson chairman Geoff French. 'Order books are at record levels - at £214M, up from the £166M we quoted at flotation - so we are expecting 2007 to be even better.' Recent contract wins include work on London Crossrail, the Edinburgh Airport Rail Link and Greek highway scheme Hellenic Autopistas. Staff numbers at 1 May were 4,000, an increase of 400 people from the same time last year.
The group's ambition is to deliver organic turnover growth of 10% a year and operating margins of 6%. Predictions for the share price in 12 months are between 250p and 258p, French said.
Construction's other newly floated business May Gurney has also seen a big increase in its share price. The price was 186p when the business went public on 21 June. On Monday it stood at 238p. A good list of repeat order clients in the less risky maintenance end of the market has created a sustainable, predictable business that the City likes, said chief executive David Sterry.