Hercules Site Services plc (LON:HERC), a technology-enabled labour supply company serving the UK’s infrastructure sector, has this week issued a trading update for the six months ending 31 March 2024. Based on unaudited management accounts, the company is performing in line with market expectations for the full year ending 30 September 2024, with revenue projected to exceed £47 million for the first half of the year. This marks an impressive increase of approximately 27% compared to the same period in 2023, when revenue stood at £37 million.
The substantial revenue growth across all income streams highlights the robust demand in the infrastructure sector. Thee Company has successfully capitalised on this demand, securing new contracts and expanding its service offerings. The company continues to demonstrate its ability to deliver significant value through its comprehensive range of services.
Hercules Site Services has achieved several key milestones in the first half of the financial year. Notably, the company gained over £5 million in new civil projects and signed a significant new framework agreement with Costain. The acquisition of Future Build Recruitment in December 2023 has been seamlessly integrated, creating opportunities for cross-selling and upselling among existing clients.
Brusk Korkmaz, CEO of Hercules Site Services, remarked on the company’s performance and future prospects:
“We have delivered further revenue growth in the first half of this financial year and gained a number of new contracts, including over £5m in civil projects and signed a significant new framework agreement with Costain. The integration of Future Build Recruitment following our acquisition of the business in December 2023 is progressing well and we are already seeing cross-selling and upselling opportunities from our existing clients.”
In response to the ongoing skills shortage in the UK, the Company successfully launched the Hercules Construction Academy in January 2024. Located in the West Midlands, this new facility is already gaining recognition for its top-tier training programs aimed at upskilling workers across the industry. The academy not only enhances the company’s training capabilities but also provides a strategic foothold in the heart of England.
The company remains optimistic about its prospects for the rest of the financial year. With strong momentum in the infrastructure sector, including highways, energy, and water projects, Hercules Site Services is well-positioned to continue its growth trajectory.
Korkmaz added: “As the UK continues to face a skills shortage, the Hercules Construction Academy successfully opened in January 2024 and is already developing a reputation for delivering first class training and the upskilling of workers across the industry. The site, based in the West Midlands, also gives us a strategic foothold in the heart of England. We are trading in line with expectations and, with continuing strong momentum in the infrastructure sector including highways, energy and water, we look forward to the rest of this financial year with confidence.”
The Company will publish its Interim Results on 3 June 2024. On the same day, CEO Brusk Korkmaz and CFO Paul Wheatcroft will deliver a live presentation on the company’s Interim Results via the Investor Meet Company platform at 14:00 BST. Interested parties can find further details on how to join the presentation on the company’s website.
Hercules Site Services continues to demonstrate its strength and resilience in the UK’s infrastructure sector. With significant revenue growth, strategic acquisitions, and the launch of the Hercules Construction Academy, the company is well-equipped to meet the industry’s demands and drive continued success in the second half of 2024.
