Balfour Beatty PLC, the London-based construction company with operations in Britain, the United States, the Middle East and Asia, reported Thursday a 30 percent increase in 2008 profits, helped by public sector projects.
Net profit rose to 183 million pounds ($260 million) from 151 million pounds in 2007. Revenue rose 29 percent to 8.26 billion pounds.
The company booked major contracts during the year from U.S. military services, London's Olympic Delivery Authority, British airport operator BAA Ltd., and a share of work on new nuclear power reactors in Britain. In Dubai, however, Balfour Beatty said business had slowed considerably.
The company also announced new contracts worth $480 million in the United States, including a $293 million jail construction project in Charlotte, North Carolina.
In the current year, Balfour Beatty said most of its work would be with public sector and regulated customers, while it is seeing a general slowdown in private sector work and in Middle East contracts.
Balfour Beaty shares rose 1.5 percent to 350.5 pence in morning trading on the London Stock Exchange.
Analyst Panmure Gordon rated the shares a "buy."
"While the outlook is more challenging, the group's high public/regulated (circa 85 percent) focus provides resilience," the company said in a research note.
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On the Net: http://www.balfourbeatty.com/
