Source: Sharecast
The group, which was promoted to the FTSE 250 earlier this month, saw adjusted operating profits improve 9.3% in the year 31 December to £47.1m, while reported pre-tax profits were 32% higher at £48.2m.
Revenues slid 16% to £1.05bn, broadly in line with expectations. The decline was attributed to revenue falls in its road division, following the completion of historic regional delivery partnership framework projects, and the revised schedule for HS2.
However, looking to current trading and Costain said its forward work position was now 30% higher at a record £7bn, with contract awards and extensions across all sectors. Costain’s core UK markets are transport, water, energy and defence.
Alex Vaughan, chief executive, said: "The group is strongly positioned in structurally-growing markets, where significant long-term investment is being made to meet critical national needs, and where we work in long-term collaborative partnerships with an increasing number of customers.
"Our forward work position…[is] giving good visibility in future work and, combined with our strong balance sheet, underpins our confidence in delivering revenue and operating profit growth in 2026 full-year and a step change in performance in 2027 and beyond."
Costain also confirmed the 2025 final dividend would rise to 3.2p from 2p, and unveiled a £20m share buyback.
As a 1045 GMT, the stock - which has rejoined the FTSE 250 after a near 20-year absence - had put on 13% at 192.6p.