Keller Group plc (“Keller” or “the Group”), the international ground engineering specialist, is pleased to announce its preliminary results for the year ended 31 December 2006.

keller group logo blue and yellow

Highlights include:

  • Revenue of £920.2m (2005: £731.0m) up 26%, mainly reflecting 20% like-for-like organic growth
  • Operating margin increased to 9.7% (2005: 7.3%), with significant improvements across the Group
  • Profit before tax up 72% to £83.7m (2005: £48.8m) - another record year
  • Earnings per share, before the benefit of a one-off tax credit, up 89% to 79.0p (2005: 41.8p). Basic earnings per share increased to 84.8p
  • Cash generated from operations of £98.3m, 94% of EBITDA, prior to investing £26.4m on acquisitions and £29.4m on capital expenditure
  • Board review of dividend policy
    • Total 2006 dividend per share increased by 30% to 15.6p (2005: 12.0p)
    • Thereafter, intention to increase dividends by 15% p.a. for the foreseeable future, subject to maintaining three times’ dividend cover

Justin Atkinson, Keller Chief Executive said:

“This was another outstanding year for the Group, in which all four of our divisions increased their profitability and significantly improved their operating margins. In addition to the very strong organic growth generated across all our main markets, the three acquisitions made in 2006 performed even better than we expected at the time of purchase.

“Our increased scale and strong business model mean we are ideally placed to continue to perform well in our chosen markets and, whilst the outstanding 2006 result is unlikely to be matched this year, we are confident that 2007 will be another good year for the Group.”

A presentation for analysts will be held at 9.15 for 9.30am at the offices of Smithfield,
10 Aldersgate Street, London EC1A 4HJ
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