The Keller Group has achieved record performance in the first half of 2023, with a 6% increase in revenue to over £1.4 million.

Announcing its results for the half year ending 30 June, 2023, the geotechnical specialist contractor, highlighted how the year will be underpinned by a strong order book of £1.5 billion.

Key results include:

• Record first half underlying operating profit of £67.0m, up 50% (at constant currency), with an increased underlying operating profit margin of 4.6% (H1 2022: 3.2%). Performance driven by improved performance at North America Foundations and a strong margin performance at Suncoast, offset by losses associated with the closeout of legacy projects at Austral and a more competitive pricing environment due to market conditions in Europe

• Underlying diluted EPS of 56.0p, up 48%, with growth in earnings moderated by higher finance costs


• Statutory diluted EPS of 45.0p, up 81%

• Strong recovery in free cash flow before interest and tax of £40.8m, benefitting from the increased underlying profits and the improved working capital performance

• Net debt of £244.6m, up 26%, impacted by the timing of US tax payments. Net debt/EBITDA leverage ratio of 1.2x (H1 20221: 1.2x)

• Strong order book of £1.5bn which underpins performance in the second half of the year 

• Overall accident frequency rate decreased to 0.09 from 0.10 injuries per 100,000 hours worked

• Interim dividend increased by 5% to 13.9p (H1 2022: 13.2p), reflecting strong performance and confidence in both the second half and our longer-term prospects

Keller Chief Executive Officer, Michael Speakman, said: "Keller delivered a record performance in the first half, largely driven by management actions to drive performance in our North American Foundations business and strong profitability at Suncoast, together with a number of large projects.

"Accordingly, performance will be more evenly weighted between the first and second half of the year. The continued momentum in the business, together with our strong order book underpins the Board's confidence in the full year expectations which remain unchanged.

"The underlying strength of the Group's performance provides confidence in our longer-term prospects and is reflected in the Board's decision to increase the interim dividend by 5% for the first half, continuing our 29-year track record of maintained or improved dividend payments."