StockMarketWire.com - Infrastructure services provider Nexus Infrastructure booked a 38% fall in full-year profit, as margins shrunk at its Tamdown housing business.

Pre-tax profit for the year through September fell to £5.7m, down from £9.2m on-year, even as revenue rose 15% to £155.1m.

Nexus Infrastructure held its interim dividend steady at 6.6p per share.

Tamdown's gross margin contracted to 13.0%, back from 16.8%, as industry-driven delays and changes to customer build programmes increased mobilisation costs and impacted efficiency on site.

'In addition, customer pricing pressure, along with cost inflation, have resulted in increased pressure on revenues and margin, however, the group has taken mitigating actions to ensure the business is more resilient,' Nexus Infrastructure said.

Chief executive Mike Morris said structural demand for housing, low interest rates and government-supported incentives in the housing sector all played well to the company's strengths.

'On the basis that trading conditions remain stable, the group is well placed to maximise opportunities within its chosen markets and deliver future value for shareholders.'


At 8:35am: [LON:NEXS] Nexus Infrastructure Plc share price was -8.5p at 162.5p



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