Contractor Carillion offset the downturn in the UK construction sector with growth in its energy, Middle East and Canadian markets, according to its latest interim management statement.
The firm reported that earnings in 2011 had been led by the acquisition of £298.4M Carillion Energy Services which has helped to improve profit margins.
Carillion’s support services division, which accounts for 50% of the firm’s underlying operating profit, expects to see strong profit growth through outsourcing by public sector organisations.
The firm said it was on track for a planned shrinkage of the construction division, excluding the Middle East, with turnover falling from £1.3bn to £600M by 2013.
Carillion said it was well positioned to achieve growth in the medium term and expects revenues in the Middle East and Canada to double to about £1bn each in the next three to five years.