Kier Group has so far shrugged off the Brexit vote

Jessica Morris
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Kier Group is a construction and infrastructure firm (Source: Getty)

Kier Group's shares rose as much as 8.13 per cent to 1,384.00p per share this morning, after the construction and infrastructure firm said it had emerged unscathed from the Brexit vote.

The figures

Kier Group posted a pre-tax loss of £15m in the year ended 30 June due to one-off costs, such as those relating to its acquisition of rival Mouchel, down from a profit of £39m last year.

This came as Kier's underlying pre-tax profit swelled 45 per cent from £86m during this period on a revenue increase of 26 per cent to £4.2bn.

Why it's interesting

There had been concern that turmoil in the property market would be a knock-on effect of an economic slowdown in the wake of Britain's vote to leave the European Union.

But Keir said today that "to date, there has been no material impact on our operations following the EU Referendum vote."

Meanwhile, last year's acquisition of Mouchel delivered the anticipated cost savings of £4m this year.

It also welcomed the UK government's approval on Hinkley Point C "where we are currently working and look forward to Kier deploying its proven capabilities further in the energy and nuclear sectors".

What Kier said

"I am pleased to report a good set of results reflecting the evolution of the group during the year following the completion of the integration of Mouchel," Haydn Mursell, chief executive of Kier Group, said.

"This year, we have successfully focused on our commercial and capital disciplines and are pleased to report a significant improvement in our net debt, further strengthening our balance sheet.

"The group continues to perform well in growing market sectors including infrastructure, housing and regional building, providing a breadth of capabilities to our clients."

What the analysts said

Peel Hunt said that "increasing opportunity post Brexit will support increased investment [in its property arm]. This should reassure investors alongside a pipeline of over £1bn."

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