Galliford Try (GFRD) reassured investors after announcing that no further exceptional charges would be incurred as it scales down its construction business. Refocusing the business on building, water and highways means 350 job cuts, £15m savings from 2021 and reduced annual construction revenue of £1.3bn, from £1.7bn last year.
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As previously announced, a £40m writedown will be recognised this year, which house broker Peel Hunt forecasts will contribute to a 15 per cent reduction in group pre-tax profits in 2019. A falling sales rate from Linden Homes – down from 0.71 to 0.68 since January – will also dampen earnings.
