Kier on track for year

Construction, services and property group Kier said it remains on course to meet expectations for the full year despite the increasingly challenging environment.

Its construction division remained resilient from 1 July 2011 to the date with operating margins firmly above 2%, in line with previous guidance.

The services division is trading well and its order book continues to provide long-term visibility of revenues. Keir said it is confident of sustaining its 4.5% operating margin.

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Kier said its property division will have an 'increasing importance' to its results with transactions weighted towards the second half of the current financial year.

Overall Kier said trading remains in line with company expectations. "In particular, our order books in Construction and Services remain robust and our net cash position remains healthy," it said in a statement.

"In addition to our strong balance sheet, our integrated business model continues to provide a good breadth of opportunities and... we anticipate a trading performance in line with our expectations for the current financial year," it added.

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