Balfour Beatty sees profit double

Balfour Beatty has announced an operating profit of £30 million in the first six months of 1998 - almost double the £16 million achieved for the same period last year.

Interim results from BICC, Balfour's parent company, were announced last week. Covering the period to 30 June, they show Balfour's turnover unchanged at £1 billion.

BICC chairman Viscount Weir said: "We expect to see a continuation in Balfour Beatty's strong profit performance in the second half of the year. We will continue to build on our international capabilities in civil, power and rail engineering."

The rail business worldwide has annual sales in excess of £400 million, of which rail maintenance accounts for less than half.

Balfour's rail maintenance business undertaken for Railtrack is being re-bid in three tranches in 1998, 1999 and 2000.

Weir said: "We intend to compete strongly with the objective of retaining this business. We are introducing new equipment into the track renewal business."

In major projects, Balfour has won £250 million-worth of civil engineering business in the USA so far this year. Balfour has "now withdrawn completely" from US general construction.

In the UK, Balfour's building and building services businesses have seen "improving returns".