StockMarketWire.com - Infrastructure services and construction company Kier swung to an annual profit as improved margins amid efforts to streamline its business offset a fall in revenue.

For the year ended 30 June 2021, pre-tax profit was £44 million compared with a loss of £196 million year-on-year, while revenue fell to £3.3 billion from £3.5 billion.

The fall in revenue came as the company exited non-core low margin and loss-making contracts.

While the completion of its motorway upgrade projects and COVID-19 pandemic, partially offset by growth in its core businesses.

Margin improved from 1.2% to 3.0%, reflecting improved quality of earnings, it added.

'We have completed the strategic actions set out in 2019 to simplify and focus the Group, improve cash generation and strengthen our balance sheet,' the company said.

The company said current trading was in line with its expectations, and despite inflationary pressures and the impact of increased national insurance contributions, its outlook for the current year remained unchanged.


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