Nexus Infrastructure Confident After H1 Revenue Growth

Sustainable infrastructure company Link announced group first-half revenue of £80.3m in its interim results on Wednesday, down from £63.7m year-on-year.

The AIM-listed company said group operating profit, meanwhile, fell to £1.1m for the six months to March 31, from £1.5m l ‘last year.

It said its order book remained “strong”, with an increase of 6.6% since the end of the year to £306.7 million, adding that its balance sheet and cash generation had also shown strength. strength over the period.

Net assets increased by 8.5% to £32.7 million at March 31, while cash and cash equivalents totaled £23.1 million at the end of the period from 25 £.6 million the previous year, with net cash increasing from £13.7 million to £12.5 million.

The board said the post-period sale and leaseback of the Nexus Park head office building increased its cash and cash equivalents balance by £2.9 million and eliminated group borrowings, increasing net cash by £13.5 million.

Nexus raised its interim dividend by 66% to 1 pence per share, which the directors said reflects their confidence in the second half performance.

“I am pleased with the excellent progress made in the first half in pursuing our strategy in multi-utilities, energy transition and civil engineering,” said chief executive Mike Morris.

“TriConnex continues to thrive, eSmart Networks is generating growth and strengthening its backlog and Tamdown is on track with its medium term plan. Nexus has a strong balance sheet with £23 million in cash, as well as a growing order book.

“Combined with our sought-after services, we are entering the second half of the year with positive momentum.”

At 11.23am BST, Nexus Infrastructure shares were up 1.89% at 188.5p.

Reporting by Josh White on Sharecast.com.