Renew, Leeds engineering firm, hits £301m H1 revenue

Leeds-based engineering services group Renew Holdings said on Tuesday it delivered record trading for the six months ended March 31, 2019, in part reflecting the contribution of the acquisition of Scotland-based rail contractor QTS Group last year.

First-half revenue rose to £301 million from £262.2 million with statutory profit before income tax rising to £14.5 million from £2.4m.

Interim dividend is increased by 15% to 3.83p.

In its outlook, Renew said: “Renew continues to focus on providing engineering support services to the UK’s critical energy, environmental and infrastructure markets.

“The group has a growing customer base and holds strong positions in its chosen markets, which provides good visibility of long-term opportunities.

“These regulated markets benefit from non-discretionary maintenance and renewal programmes and, as such, investment is unlikely to be affected by Brexit. 

“The group’s appointment to a number of key Network Rail CP6 frameworks in the period demonstrates the strength of the group’s position within the UK rail market and provides significant opportunity for organic growth.

“It remains the group’s strategy to grow its engineering services business both organically and through selective, earnings enhancing acquisitions. 

“The board is confident that the group’s full year results will be in-line with its expectations and that it will continue to deliver on the established strategic objectives.”

Renew Holdings chairman David Forbes said: “The group has delivered record interim results, in part reflecting the contribution of QTS which we acquired in the second half of last year.

“We are pleased to have increased the interim dividend by 15% consistent with our progressive dividend policy.

“We continue to deliver on our established strategic objectives and remain confident of reporting full year results in line with expectations.”

About the Author

Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.