Bill Hocking, chief executive, said the firm had secured 75% of next year’s revenue and expected an improved performance across both building and infrastructure divisions.

“We are encouraged that the momentum in the business has carried into the first quarter of the new financial year and our expectations for the full year to June 2024 have now increased.”

Much of the improved performance will come following the firm’s recent shift to a new cloud-based computing system, which saw it book costs of £10.5m last year and £6m in the prior year.

In the year to 30 June, Galliford Try reported pre-tax profit had jumped to £10.1m from £5.4m previously, generated from revenue up 13% to £1.4bn.

Operating margin remained stable at 2.4% although there was some pressure in the building division.

Hocking said: “Galliford Try continues to perform strongly and we are making good progress on our Sustainable Growth Strategy, of risk managed controlled growth.

“Our commitment to robust risk management, careful contract selection and operational excellence continues to underpin our performance and prospects.  

“We are doing what we said we would do, consistently delivering increased revenue and profit, supported by our great people, a strong balance sheet, excellent order book and good supply chain and client relationships.”

Average month-end cash dropped 22% to £135m.