This year is expected to hold challenges for construction and support services group Carillion. Nevertheless, the business starts 2012 with a robust order book and a growing pipeline, all of which helps underpin the attractions of its high-yielding shares.
IC TIP:
Buy
at
337p
While last year's revenues fell marginally, reflecting the acquisition of Eaga and the scaling back of UK construction, a substantial boost to underlying operating margins from 4.2 per cent to 4.7 per cent meant a 13 per cent rise in underlying pre-tax profits to £212m. Meanwhile, the order book was steady at £19.1bn and, encouragingly, given fears about the economic outlook, the contract pipeline rose 29 per cent to £33bn.