Keller Group shares jump as profit guidance revised higher

Keller Group, the world’s largest geotechnical specialist contractor, is on track for a record first half as orders pick up and operating margins expand. The company’s projects include metro tunnelling in Melbourne and deep sewerage system in Singapore.

Keller Group released a trading statement Wednesday ahead of the release of their interim results due to be released 1st August which will now be highly anticipated by investors after the company said their operating profit will be materially aherad of prior expectations.

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The company also said higher operating profits and strong performance will be passed on to investors through a 5% increase in their interim dividend to 13.9p.

“The actions we have taken to improve operational execution have resulted in an increased operating margin and a record performance in the first half of the year,” said Michael Speakman, CEO of Keller Group.

“This significant progress, together with the increased momentum and our robust order book, gives us the confidence to increase our expectations for the year. 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”.

Keller Group shares were over 12% higher at the time of writing.

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