Kier, the UK infrastructure and construction firm, reported that its first-half trading was in line with expectations, maintaining its full-year (FY26) guidance unchanged. The company's order book grew to around £11.6 billion by the end of December, up from £11 billion a year earlier, providing strong visibility with approximately 94% of expected FY26 revenue already secured. This growth underpins the group's confidence in its operational delivery and cash control.

Recent awards in infrastructure services and construction have supported activity levels in core public-sector markets. The firm's performance has been bolstered by steady operational delivery and tighter cash control, which has led to an improved cash position. Kier reported an average month-end net cash position of roughly £15 million for the period, compared to a net debt of £38 million in the prior year, reflecting improved working capital discipline.

CEO Stuart Togwell emphasized the company's strong performance, attributing the achievement of a net cash position to a culture of operational delivery and focus on working capital management. Investors are likely to view this positively, as it signals improved financial health and operational efficiency. The company expects to report a substantially improved period-end net cash position at December compared to the same point last year, which could further boost investor confidence.

Kier's focus on working capital and cash discipline is a strategic move that aligns with broader industry trends. As the construction and infrastructure sector faces ongoing challenges, Kier's ability to maintain a positive cash flow is a critical factor in its long-term sustainability and growth potential. This development positions Kier favorably in the market, especially as it continues to secure contracts and manage its financial resources effectively.