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Costain results for the year to 31^st December 2025 show revenue down 16% at £1,045.7m (2024: £1,251.1m) and pre-tax profit up 32% to £48.2m (2024: £36.5m).

Adjusted operating profit – the board’s preferred metric – grew by 9% to £47.1m (2024: £43.1m).

There was a 50% fall in revenue from road building projects and a 25% fall from railways. But these were at least partially offset by growth in the energy sector and from the nuclear & defence division.

Despite the turnover dip, Costain’s financial metrics all look to be pointing the right way. The net cash position at the end of the year was £189.3m (2024: £158.5m) after taking account of the £10m share buyback programme and higher dividend payments in 2025. Cash from operations was £50.7m (2024: £41.7m), with the increase reflecting increased adjusted operating profits and working capital timing. Adjusted free cash flow was up from £27.1m in 2024 to £63.1m in 2025.

In addition, the forward work position – combining both the order book and the preferred bidder book – stood at £7.0bn at the end of 2025, compared to £5.6bn at the half-year point and 5.4bn at the end of 2024. It includes £1.1bn of revenue for 2026, equivalent to 90% of forecast revenue for the year.

Chief executive Alex Vaughan said: “The group is strongly positioned in structurally growing markets where significant long-term investment is being made to meet critical national needs, and where we work in long-term collaborative partnerships with an increasing number of customers. Our forward work position has grown by 30% to a record £7.0bn, almost seven times 2025 revenue, giving good visibility of future work and, combined with our strong balance sheet, underpins our confidence in delivering revenue and operating profit growth in 2026 and a step change in performance in 2027 and beyond."