Shares in Costain Group PLC (LON:COST) rose almost 3% early on after the civil engineer posted a 34% increase in underlying profit.
The boost was the result of a strong showing from its infrastructure division and a “significant” improvement in the performance of its natural resources arm.
Underlying operating profits were £21.1mln for the six months ended June 30 on revenues of almost £875mln (up from £791mln a year earlier). The order book stands at £3.7bn, with £1.5bn of that secured for 2017, the company said in a statement.
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Transforming rapidly to differentiate Costain
The firm is sitting on cash of just under £88mln, allowing it to hike the dividend payment 10% to 4.75p a share.
"We delivered another strong performance in the first half of the year with 34% growth in underlying operating profit and a 10% interim dividend increase,” said chief executive Alan Wyllie.
"We are transforming rapidly to differentiate Costain as the UK's leading smart infrastructure solutions company.
“We are delivering technology-based solutions demanded by our clients who are spending billions of pounds, underpinned by legislation and regulation, to meet ever more complex challenges to enhance the nation's infrastructure.”