Momentum builds at Balfour Beatty

Balfour Beatty (BBY) has boosted its full-year forecasts after a surge in profitability, causing its shares to jump by 9 per cent. 

Balfour Beatty (BBY) is starting to bounce back. The company said in its interim results that its support services arm is delivering margins of 6-8 per cent, and “is now expected to be at the top of this range for the full year”.  As such, profit from operations is due to overtake previous guidance. Analysts responded positively to the news, with Peel Hunt increasing its pre-tax profit estimate from £205mn to £230mn, giving earnings per share of 30p for the full year.