Global giant Balfour Beatty expects its UK construction revenue to fall by 20% this year as it withdraws from bidding on low margin jobs, UK’s Building magazine reports.
Reporting its results for the year to 31 December 2012 on 7 March, Balfour Beatty said it expects its revenue for its UK construction business to fall 20% in 2013 – down from the £3.18bn it reported for 2012, which was a 6% fall on 2011.
This would leave the business with revenues of around £2.55bn in 2013, down 35% on the £3.89bn the firm posted in 2009.
Speaking to Building, Balfour Beatty UK Construction Services chief executive Mike Peasland said the projected fall in revenue was not simply the outcome of the shrinking construction market, but the result of a strategic decision to withdraw from bidding on low-margin high-risk work.
