Skanska UK has ramped up its forward workload with a 43% surge in orders to £1.36bn, setting the business up for a stronger 2026 after a dip in profit last year.

The contractor secured £1.36bn of new work in 2025, up sharply from £958m the previous year, driven by a trio of major wins across building and infrastructure.

These included the £199m Botanic Place office development in Cambridge, a £153m upgrade of the A47 Thickthorn junction for National Highways and a £43m rail bridge replacement over the M6 for Network Rail.

The jump in orders fed through into higher activity levels, pushing revenue up 7.6% to £1.37bn in the year to December 2025.

But profit moved the other way as the contractor took a cautious approach to recognising returns on previously secured building projects from the prior year.

Pre-tax profit fell 8% to £71m, while operating profit dropped 14% to £46m as margins slipped from 4.3% to 3.4% as a larger share of work sat in early delivery phases.

Skanska said the margin pressure reflects its conservative accounting approach on new projects, with returns expected to improve as schemes progress through delivery.

Despite the profit dip, the group’s financial position strengthened.

Net cash increased 7.5% to £508m, with the business net debt free outside of lease liabilities.

The stronger pipeline and cash position leave Skanska better placed heading into the second year of its three-year plan, which is focused on delivering more predictable and sustainable performance.