Kier has hit a major balance sheet milestone after swinging into an average month-end net cash position for the first time in over a decade, underlining the scale of its operational turnaround.

The contractor said it achieved average month-end net cash of around £15m over the first six months to 31 December 2025 – a sharp reversal from average month net debt of £38m a year earlier and a peak of £432m in 2021.

In a trading statement ahead of reporting first-half results, Kier now expects to report a period-end net cash position “substantially above” the £58m recorded at the half-year stage last year.

The cash breakthrough came as the firm said forward work visibility remained strong, with the order book sitting at a record £11.6bn at the half-year, up from £11.0bn a year earlier.

Around 94% of expected FY26 revenue is already secured, giving the board confidence heading into the second half.

Recent wins included places on British Airways’ Tier 1 collaborative framework at Heathrow, £44m of early contractor involvement work with Southern Water under its AMP8 framework, and a two-year extension to the minor civils framework at Hinkley Point C.

In construction, Kier secured two education schemes worth around £112m alongside the £85.5m Government Property Agency hub in Darlington.

Property activity also continued, with planning permission secured for a 98,000 sq ft industrial scheme at Sharston in Manchester and practical completion reached at the Logistics City development in Milton Keynes.

Chief executive Stuart Togwell said the move into net cash marked a “significant milestone”, crediting tighter operational delivery and working capital discipline as the group heads into the second half “structured for further success”.