Contract wins boosting performance for Interserve
A string of new orders are helping keep performance on track at construction and services group Interserve, which employs more than 1,100 across the Black Country.
It's Aldridge-based RMD Kwikform business, which provides specialist construction services, has won orders on major projects including the Mersey Gateway and the A14 upgrade scheme in the UK, together with continuing work on a number of projects in Bahrain for the NASS group.
In the first four months of its financial year it has also secured a new five-year facilities management contract with Network Rail, worth £65 million, for its UK Support Services arm and a one-year contract extension, worth £16m, to provide facilities management for the Ministry of Justice.
At the company's annual shareholders meeting today investors will also be told Interserve's international construction business has won contracts at the Liwa Plastics scheme in Oman worth £72m and, in Qatar, for Siemens to construct substations worth £50m.
It has also won a £17m support services deal to look after government buildings in the UAE and a £39m shutdown contract for an industrial production facility in Qatar.
Interserve employs 80,000 people at home and abroad, with 1,600 across the West Midlands. That includes around 120 at RMD Kwikform's two sites in Aldridge, staff at offices in West Bromwich and Dudley and another 600 working at Russells Hall Hospital.
The company is currently building a new regional headquarters building next to Birmingham Airport which will bring together around 1,200 people from sites across the West Midlands from early next year.
The company told investors today there had, as yet, been little noticeable slowdown in the amount of work from the UK Government, although that may be affeccted by the General Election.
Otherwise the business remained on track, with performance in line with previous expectations. Support servies revenue remained 'robust' and there was 'good momentum' for its equipment services, particularly in the UK, Middle East and Far East.
In an AGM statement, Interserve said: "Trading in our UK construction business remains mixed, but is in line with our overall expectations, which anticipate an improving performance in the second half of the year as older, less favourable contracts are completed."
