About Us Press Centre Contacts CAPABILITIES FLAGSHIP PROJECTS INVESTORS CAREERS SUSTAINABILITY OUR GROUP OUR BRANDS OUR AWARDS COMPANY POLICY STATEMENTS The Group employed 4,487 staff as at 30 June 2014 and benefits from a strong client base and integrated supply chain, spanning both industries in which it operates. Our Vision & Values Our Board & Management Our Business Model & Strategy Our Company History OUR BUSINESS MODEL & STRATEGY STRATEGY TO 2018 Targeting disciplined growth across all businesses to deliver strong shareholder returns Across all of our businesses we have a disciplined growth plan to 2018 and we remain on track to deliver our objectives. Group Our strategy is expected to more than double FY13's profit before tax and earnings per share by 2018, with a greater increase in the dividend. The Group is announcing today that it plans to further enhance its progressive dividend policy, with the aim to reduce cover to 1.5x. The Group has also agreed a one year extension to 2020 for its unsecured revolving credit facility of £400 million on improved terms and entered into a new £100 million interest rate hedge. We continue to target period-end gearing of no more than 30%, with average and peak levels well below covenant levels. Housebuilding Linden Homes The business continues to focus on its margin enhancement programme. For the half year to 31 December 2014 we achieved a margin of 15.1% versus 13.5% in first half of the previous year. We expect operating margin to rise towards 18% by 2018. Galliford Try Partnerships Our Partnerships business is performing well as we respond to the strong demand for affordable housing. We now anticipate achieving revenue in excess of £400 million with circa £60 million from the sale of low cost homes and the remainder from the contracting business. We expect the blended operating margin to increase to at least 4.0%. In a land market that remains positive, we have acquired a circa 14,300 unit landbank, across Linden Homes and Partnerships; it is intended that this will remain stable and provide a comfortable 3½ - 4 year supply. Construction Our enlarged Construction business is benefiting from an improving market. Following the complementary acquisition of Miller Construction we have increased the construction revenue target from £1.25 billion to £1.5 billion by 2018. The integration of Miller Construction has proceeded very well and is now complete with the expected synergies being delivered. Across all our Construction businesses we will maintain our focus on risk management and continue to prioritise margin and strict cash management. We expect margins to rise to 2.0% by 2018. Download our Publications Annual Report & Accounts 2014 Sustainability Report 2014 Making An Impact Alert Service Sign up Group Websites Linden Homes Morrison Construction Rock & Alluvium Pentland Estate Management Website Information Alerts Cookies Disclaimer Accessibility Site Map