The Kier Group Board is proposing a final dividend of 5.2p per share and thus a total dividend of 7.2p representing cover of 3x, compared to 4x in FY24.
Subject to shareholder approval, the final dividend amounting to approximately £22.7m will be paid on 3 December 2025 to shareholders on the register at close of business on 31 October 2025. The shares will be marked ex-dividend on 30 October 2025. Kier has a Dividend Reinvestment Plan ("DRIP"), provided by Equiniti Financial Services Limited, which allows shareholders to reinvest their cash dividends in their shares. The final election date for the DRIP is 14 November 2025.
Other financial highlights include:
Revenue and operating profit growth with strong positive cashflow:
o Revenue growth of 3% and adjusted operating profit growth of 6%
o Strong operational delivery across all businesses
o Adjusted operating margin grew 10bps to 3.9%, progressing towards increased long-term margin target of 4.0%-4.5%
o Reported operating profit increased 10% to £113.7m (FY24: £103.1m)
o Free cash flow of £155.4m (FY24: £185.9m), representing 125% operating cash conversion, significantly above sustainable growth plan target of 90%
o Strengthened balance sheet: average month-end net debt materially improved by £67m to £(49)m
Record order book:
o High quality order book increased to £11.0bn (FY24: £10.8bn) providing significant visibility of future cashflows
o 91% of expected FY26 revenue and c.70% of FY27 revenue secured
Creating value through a disciplined approach to capital allocation:
o £20m share buyback announced in January 2025 (over 30% complete at 30 June 2025)
o Increased investment in the Property segment: capital employed now £198m and on track to deliver ROCE target of 15% by FY28
