Annual Report and Accounts 2025
We’re driving the transformation of the industry to meet the challenges of the future.
We have delivered strong operational and financial performance across the Group.
Group highlights
REVENUE¹
£10,767m
NUMBER OF EMPLOYEES
26,000
UNDERLYING PROFIT BEFORE TAX
£291m
DIRECTORS’ VALUATION INVESTMENTS PORTFOLIO
£1.1bn
¹
£12.9bn
£7.8bn
£2.0bn
UNITED KINGDOM
UNITED STATES
HONG KONG
£22.7bn
GROUP ORDER BOOK
¹ Including share of joint ventures and associates
Since joining in September, I’ve been truly impressed by the depth of talent across Balfour Beatty and the inherent strength of the Group. Our capabilities, the quality of our order book and our disciplined approach to risk provide a powerful foundation for the future.
Group Chief Executive
Philip Hoare
Group Chief Executive’s review
Our strategy: Build to Last
Build to Last is Balfour Beatty’s strategy for continuous improvement. It is the day-to-day guide we use to uphold our purpose and underpins everything we do.
The Build to Last strategy is measured against our five values – Lean, Expert, Trusted, Safe and Sustainable.
Lean
Trusted
We create value for our customers and drive continuous improvement
We deliver on our promises and we do the right thing
Our strategy: Build to Last
Our KPIs
£1,446m
NET CASH (£m)
£252m
UNDERLYING PROFIT/(LOSS) FROM CONTINUING OPERATIONS £m
2024: £943m
2024: £248m
2024: 96%
83%
95%
CUSTOMER SATISFACTION AVERAGE (%)
Our KPI
We make safety personal
We act responsibly to protect and enhance our planet and society
Safe
Sustainable
2024: 0.09 LTIR
2024: 144 (tCO
0.08
Our KPI
Our KPI
LOST TIME INJURY RATE (LTIR)
140 tCO e 000s
TOTAL SCOPE 1 & 2 EMISSIONS (tCO
excluding non-recourse borrowings
excluding international joint ventures
Building a
Our business model
At Balfour Beatty, we finance, develop, build, maintain and operate the increasingly critical infrastructure that supports national economies and deliver projects at the heart of local communities.
Sharing the value we create
In striving to achieve its purpose of Building New Futures, Balfour Beatty touches the lives of millions of people around the world. Working with multiple stakeholders across the industry and beyond, the Group continues to innovate and lead the market through driving change, shaping the debate and inspiring a new generation of talent to be the change makers of tomorrow.
Collaborative and long-term mutually beneficial relationships with our customers are the foundation of our success.
Talented and engaged employees, committed to upholding our values, enable us to deliver our Build to Last strategy – ensuring we win and expertly deliver the best and most exciting projects, whilst continuing to build a great place to work.
Our extensive supply chain partners across the Group plays an instrumental role in our success and driving best practice across our industry.
Our activities have a lasting impact on the communities in which we operate. We are committed to leaving a positive and sustainable legacy.
Governments set the policy and legislative context in which we operate and are also valued customers across our chosen geographies.
Our shareholders, as owners of the Company, are a critical stakeholder for the Group.
Stakeholder value
Balfour Beatty prides itself on being a responsible, sustainable organisation that delivers long-term benefits for the business, society and the environment creating positive returns for all of the Group’s stakeholders.
Sustainability highlights
Sustainability
2025 has been another strong year for Balfour Beatty, delivering against the targets we set out a year ago. As we look ahead, there is real momentum in the business. We are confident in delivering further margin growth and long-term value for our shareholders.
Chief Financial Officer’s review
Our financial performance measures below are considered most relevant to the Group and used to manage the Group’s performance.
Our investment proposition
2021
2022
2023
2024
10,767
2021
2022
2023
UNDERLYING PROFIT FROM OPERATIONS (PFO) £m
2022
2023
2024
47.5
UNDERLYING EARNINGS PER SHARE (BASIC) Pence
REVENUE¹ £m
2021
2022
2023
ORDER BOOK¹ £bn
7,629
7,185
STATUTORY REVENUE £m
2021
2022
2023
2024
9.0
DIVIDENDS PER SHARE Pence
STATUTORY PROFIT FOR THE YEAR £m
2021
2022
2023
2024
21.3
STATUTORY EARNINGS PER SHARE (BASIC)
Pence
2025 has been a defining year for Balfour Beatty. The Board has overseen disciplined delivery, ensured a robust and well governed executive succession transition and continued to strengthen the culture that underpins our long-term performance and value creation for all stakeholders.
Governance
Group Chair introduction
Governance
Promoting the long-term, sustainable success of the Company.
Establishing the Company’s purpose, values and behaviour supports the Board’s active promotion of a positive culture. Consideration of stakeholder interests is a key cornerstone of the Board’s decision-making process.
Processes and procedures are in place to ensure that there is an appropriate balance of Board members who are sufficiently supported and have the necessary skills, experience and independence to discharge their duties as Directors.
The Board is the principal
decision-making body of the Company and each Director has specific responsibilities depending on their individual role. The
day-to-day operation of the Group is formally delegated by the Board to the Group Chief Executive.
Board leadership and Company purpose
Key statutory and regulatory disclosures are made by the Board on an annual basis to ensure compliance with all applicable requirements.
The Board has delegated authority on specific governance matters to its Committees:
Directors’ report
Committee reports
Division of responsibilities
Composition, succession and evaluation
Governance
Maintaining a strong Board
Board of Directors
Q&A with our new Directors
LTIR
Building New Futures
¹ Including share of joint ventures and associates, before non-underlying items.
Financial statements
The Directors have skills and experience relevant to the sector in which the Group operates in order to effectively set the strategic direction and purpose of the Group.
2
e 000s)
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Strategic report
Governance
Financial statements
Investors
Group Chair
Charles Allen, Lord Allen of Kensington, CBE
Chief Financial Officer
Phil Harrison
Reimagining construction through digital innovation
We continue to implement new advancements in digital and AI to drive safer, more productive and better assured delivery across the Group.
Find out more
We continue to implement new advancements in digital and AI to drive safer, more productive and better assured delivery across the Group.
Market review
Our highly skilled colleagues and partners set us apart
Expert
2024: 84%
Our KPI
EMPLOYEE ENGAGEMENT INDEX (%)
Group Chair's introduction
Measuring financial performance
Chief Financial Officer's review
Sustainability highlights
Sharing the value we create
Our business model
Well positioned in four growth markets
Reimagining construction through digital innovation
Our strategy: Build to Last
Group Chief Executive's review
Group highlights
Home
8,280
Nomination Committee
Safety and Sustainability Committee
Audit and Risk Committee Remuneration Committee
•
•
•
•
418
STATUTORY NET CASH/ (BORROWINGS) £m
2021
2022
2023
2024
815
NET CASH £m
8,931
2025
2024
37.3
2025
16.5
10.5
2025
7,993
842
2025
435
194
35.3
2025
2024
Alternative performance measures
Statutory measures
Photo credit: Los Angeles International Airport
Hinkley Point C, Somerset, UK
Delivering the UK’s first nuclear power station in a generation has drawn on a breadth of capabilities from across the UK business. Construction Services is carrying out the tunnelling and maritime works package, plus the mechanical and electrical works through the MEH Alliance. Support Services is delivering the 48km, 400kV overhead line connection project on behalf of National Grid.
Los Angeles International Airport (LAX) Automated People Mover, US
Balfour Beatty and its joint venture partners in LAX Integrated Express Solutions (LINXS) are responsible for the design, build, finance, operation and maintenance of the LAX Automated People Mover project. To construct this 2.25-mile above-ground airport transport system connecting passengers with the airline terminals, LINXS is utilising expert capabilities from its US construction businesses with the financial expertise of Balfour Beatty Investments.
Littlebrook substation, Kent, UK
As part of National Grid’s transformation programme, Balfour Beatty is replacing the high-voltage Littlebrook substation to ensure power supply in the Southeast for years to come. This project combines multiple aspects of the Group’s capabilities, including ground engineering, construction, steel fabrication, M&E, cabling and overhead line connections.
M25, UK
In 2009, Balfour Beatty, with its joint venture partners, was awarded the design, build, finance and operate contract for the M25, and has subsequently upgraded, widened and enhanced sections of the London orbital motorway. The Group continues to operate and maintain the M25 through its stake in Connect Plus Services.
2023 Annual Reports and Accounts
CUSTOMERS
EMPLOYEES
SUPPLY CHAIN AND STRATEGIC PARTNERS
COMMUNITIES
GOVERNMENTS
SHAREHOLDERS
View our sustainability strategy and best case studies
9,595
197
279
228
29.7
16.1
17.4
790
441
139
287
46.9
11.5
2%
40%
social value generated in the UK
reduction in UK waste intensity
reduction in absolute carbon emissions across the UK and US
£937m
of UK workforce in earn and learn positions
7.4%
spent with UK local suppliers
£950m+
charitable donations in the UK
£398m+
Find out more about our strategy and read our case studies visit –
reduction in the Group's Scope 1 and 2 CO2 emissions intensity*
(*market-based)
7.8%
spent with UK SMEs
£2bn+
of UK workforce in earn and learn positions
8.8%
Icon Awards
Look out for this icon in the report to meet some of our experts and learn about the vital work they do to leave a positive, lasting legacy in the communities where we work.
Look out for the Icon Awards logo to read our winners’ stories throughout the report.
Well positioned in
four growth markets
social value generated in the UK
£1,012bn
10,015
2025
248
2021
43.6
18.4
2025
943
446
2021
2022
2023
2024
2025
2021
2022
2023
2024
2025
8,234
178
2021
2022
2023
2024
2025
34.2
12.5
Gabby Costigan
Independent Non-executive Director
Robert MacLeod
Independent Non-executive Director
Rudy Wynter
Independent Non-executive Director
How we work
DIVISIONS
CONSTRUCTION SERVICES
INFRASTRUCTURE INVESTMENTS
Our Construction Services businesses operate across infrastructure and buildings markets in the UK, in the US and in joint venture in Hong Kong.
Our Support Services businesses operate in the UK, designing, upgrading, managing and maintaining critical national infrastructure.
SUPPORT SERVICES
Our Infrastructure Investments business develops and finances both public and private infrastructure projects in the UK and the US.
Provides construction services for four main infrastructure asset types:
– Energy: design and construction of large-scale, complex energy assets.
– Roads: design and construction of strategic and major roads in the UK, US and Hong Kong, including widening and conversion of existing routes.
– Railways: design and management of railway systems, delivering major multi-disciplinary projects, track work, electrification and power supply.
– Airports: construction and refurbishment of passenger terminals, transit facilities, airfield infrastructure and associated civil works.
Builds commercial, defence, education, government, healthcare, leisure, retail, and residential buildings, providing design and build, mechanical and electrical engineering, shell and core, fit-out and interior refurbishment services.
Delivers construction and build services for other infrastructure, including flood and coastal defences and public realm.
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CAPABILITIES
Constructs and maintains electricity networks for power transmission and distribution.
Provides maintenance, asset and network management and design services for highways, railways and other public assets.
Delivers support services across a range of utility assets.
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Invests directly in various assets, mainly infrastructure with post-construction management opportunities.
Operates a UK and US portfolio of service concession assets.
Invests in real estate, particularly private military housing, student accommodation and multifamily housing.
Provides real estate management services, including property development and asset management.
Realises asset value through disciplined disposals executed with a clear focus on shareholder value.
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CAPABILITIES
CAPABILITIES
Business model
Our approach to renumeration continues to deliver a robust link between strategy, reward and performance, supporting Balfour Beatty’s drive to deliver profitable managed growth and sustainable cash generation.
Renumeration
Renumeration
Governance
Maintaining a strong board
Renumeration
Download centre
2
2
e 000s)
Capitalising on high-growth markets where the Group has the capabilities and a proven track record to secure new opportunities.
Market review
Balfour Beatty has built an industry-leading brand based on its reputation as a partner that is Lean, Expert, Trusted, Safe and Sustainable – our five Build to Last values.
BUILD TO LAST VALUES
With over 115 years of experience successfully delivering transformational infrastructure projects, Balfour Beatty has cultivated a strong track record of quality and reliability.
WORLD-CLASS RECORD
Balfour Beatty invests in understanding clients’ needs, developing bespoke solutions, and collaborating closely with customers and supply chains through integrated delivery models.
COLLABORATION
Innovation is part of Balfour Beatty’s culture, harnessing the power of digital and cutting-edge technology to drive productivity and redefine the possible.
INNOVATION
Balfour Beatty’s strong balance sheet is a testament to strong governance. It gives customers confidence in the Group’s ability to deliver, and that Balfour Beatty is here for the long term.
FINANCIAL STABILITY
Balfour Beatty’s engineering and project management expertise allows it to deliver complex, one-of-a-kind projects and has made the Group a trusted construction partner for the public and private sector alike.
EXPERT PEOPLE
Balfour Beatty takes its responsibility as a custodian of the planet seriously and seeks to leave a positive legacy in the communities it works in.
SUSTAINABLE FOCUS
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Reimagining construction through digital innovation
UK ENERGY
US BUILDINGS
UK DEFENCE AND SECURITY
UK TRANSPORT
252
47.6
22.7
1,446
837
9,489
264
52.6
14.0
hours support to educational institutions and students
6,787
Board of Directors
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CUSTOMERS
Public, private and regulated entities
CUSTOMERS
Public, private and regulated entities
CUSTOMERS
Public, private and regulated entities
Measuring financial performance
Our Investment propostion
Results presentation
Results announcement
