Aberdeen bypass builder records 145% surge in profits

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Aberdeen bypass builder Galliford Try has reported strong financial results despite taking a multi-million pound hit on the delayed project.

Strong underlying performance saw profits at the London-based construction company surge by 145%.

Full-year results showed pre-tax profits jumped from £58.7m to £143.7m in the year to 30 June.

The figures accounted for extra costs of £45m on the bypass project after the collapse of former partner Carillion.

The 28-mile development – known as the Aberdeen Western Peripheral Route (AWPR) – is one of Scotland’s biggest infrastructure projects and has a price tag of £745m.

Carillion liquidation

Galliford Try had reported in May that additional weather-related costs associated with the bypass were likely to be in the region of £25m.

The project was due to be finished by the spring, but may now not open until late autumn.

The company, along with Balfour Beatty, are now covering the costs after Carillion went into liquidation in January.

In its report, London-based Galliford Try said significant sections of the road were open to the public.

It said an outstanding section was due to be completed in the autumn.

The company, which also worked on the new Queensferry Crossing, said much of its recent success was driven by strong figures in its home building division.

Chief executive Peter Truscott said: “The underlying construction business performed well and continues to see a pipeline of suitable opportunities, with new projects delivering improved margins.

“We have made good progress towards completion of the AWPR contract, with significant sections of the road open to traffic and the final section expected to be open by late autumn 2018.”