Steady trading relieves investors in Balfour Beatty

Marion Dakers

SHARES in Balfour Beatty rose six per cent in early trading today after the infrastructure group said business had been steady in the last two months.

The firm, which issued a profit warning in November and again in April, said market conditions remain “very challenging”.

Construction in the UK was weak, though the company said it expects to recoup losses sustained in the first half during the rest of the year.

Balfour’s professional services business in Australia has been hit by contract cancellations in the natural resources sector.

Overall the FTSE 250 firm's order book was stable at £16bn.

“[W]e expect our profits to be significantly more skewed to the second half than in previous years, with the full-year result remaining in line with management's expectations,” Balfour said in a statement.