Article

Galliford Try wins £110m River Mease contract

Severn Trent has appointed Galliford Try to deliver a £110 million wastewater improvement scheme, extending the pair's long-standing relationship.

by tickstock newsroom · Editor JMA
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Galliford Try, the UK construction group, has been appointed to a £110 million contract to deliver the River Mease Improvement project for Severn Trent Water.

The scheme, driven by Water Industry National Environment Programme (WINEP) requirements, will see Galliford Try's Environment business build a 23km cross-country pipeline carrying flows from the Packington and Measham treatment works.

"We are delighted to be strengthening our long-standing relationship with Severn Trent with a project of this scale and significance", said Bill Hocking, chief executive of Galliford Try.

He added that the win reinforces the group's position as "a leading delivery partner for complex, large-scale water and wastewater infrastructure projects that support environmental compliance and long-term resilience".

News Intelligence what this means for the company

Galliford Try has won a £110 million wastewater infrastructure contract from Severn Trent Water to build a 23km pipeline as part of environmental compliance work. The contract extends an existing relationship and sits within the group's Environment business, but at £110m represents roughly 2.6% of the company's £4.3bn order book, so is material but not transformational to the group's near-term revenue trajectory.

Knock-on
  • Severn Trent Water is the client here; the contract's execution risk and margin profile depend on Severn Trent's project management and payment discipline, but the story provides no detail on either.
Investment case

The win reinforces Galliford Try's positioning in regulated water infrastructure, a sector with long-term visibility. However, the contract does not materially alter the group's growth profile: it adds to an order book already 90% committed to next year's revenue, and at £110m is modest relative to the £4.3bn backlog and the group's recent track record of framework wins in the £750m–£15.4bn range.

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Content is for informational purposes only, not financial advice.

by tickstock newsroom