Finance
Balfour beatty projects 2026 profit growth on UK power orders; shares peak
Published by Global Banking & Finance Review®
Posted on March 11, 2026
2 min readLast updated: March 11, 2026
Quick Summary
Balfour Beatty forecasts high single‑digit profit-from‑operations growth in 2026, backed by a record £22.7 bn order book heavy in UK power projects, and bolstered by a £200 m share buyback and 12% dividend hike to 14p.
Balfour Beatty Expects 2026 Profit Rise on Record UK Power Project Orders
Financial Performance and Strategic Developments
2026 Profit Forecast and Order Book Growth
March 11 (Reuters) - British construction group Balfour Beatty forecast a high single-digit percentage rise in 2026 profit from operations on Wednesday, with a record order book heavy with UK power projects, including nuclear power.
Shareholder Returns and Dividend Increase
Balfour also announced a 200-million-pound share buyback and a 12% increase in its full‑year dividend to 14 pence per share.
Market Reaction
Shares rose 12% to a record high in early trading.
Business Operations and Market Impact
The company, which provides services to public- and private‑sector clients across power, transportation and defence in the U.S. and UK, said U.S. tariffs had a relatively low impact on its business in 2025 and were largely recovered through pre‑existing contract terms.
Profit Growth and Project Performance
The contractor's underlying profit from operations from earnings-based businesses rose 16% to 293 million pounds ($393.56 million) in 2025 as strong U.S. building construction offset cost overruns at its highways project in Texas.
Exchange Rate
($1 = 0.7445 pounds)
Reporting Credits
(Reporting by Neeshita Beura in Bengaluru; Editing by Rashmi Aich and Harikrishnan Nair)
Key Takeaways
- •Record order book of £22.7 bn at end‑2025, up 23%, with over £3.5 bn in new UK power generation projects, including Sizewell C and Net Zero Teesside, and nearly 40% rise in power transmission work, underpinning profit outlook for 2026. (balfourbeatty.com)
- •2025 underlying profit from operations rose 16% to £293 m, driven by strong UK Construction and Support Services; US Construction was impacted by cost overruns but recoveries are being pursued. (balfourbeatty.com)
- •Shareholder returns boosted with a £200 m share buyback announced for 2026 and a full‑year dividend increased 12% to 14p per share. (balfourbeatty.com)
References
Frequently Asked Questions about Balfour Beatty projects 2026 profit growth on UK power orders; shares peak
1What is the size of the latest Balfour Beatty share buyback?
Balfour Beatty announced a 200-million-pound share buyback.
2How much did Balfour Beatty increase its full-year dividend?
Balfour Beatty increased its full-year dividend by 12% to 14 pence per share.
3How did U.S. tariffs impact Balfour Beatty’s business?
U.S. tariffs had a relatively low impact on Balfour Beatty's business in 2025 and were largely recovered through pre-existing contract terms.
