Latest Rail News

07.03.13

Balfour Beatty sells European rail arm

Balfour Beatty is to sell its mainland European rail business, following a fall in profits.

The company reported a 70% fall in pre-tax profits to £75m. The UK construction industry remains tough and construction revenue is expected to fall by 20% this year.

Group-wide, underlying profits at Balfour Beatty remain resilient, down 7% at £310m on turnover flat at £10.9bn, before restructuring costs of £61m and £100m in goodwill write-downs on its European rail business.

A spokesperson said: “In Mainland Europe, we essentially operate only in rail. Therefore, we will be divesting of all of our rail businesses through a process that ensures that the businesses and their customers continue to receive full support.

“As a first step in this direction, we have sold the Spanish business to its management.”

Tell us what you think – have your say below, or email us directly at opinion@railtechnologymagazine.com

Comments

Mikeyb   07/03/2013 at 16:59

The sad fact about mainland Europe is that the majority of rail industries continue to remain in the the hands of the big state-owned monopolies. DB together with SNCF (and it's subsidiaries) seem to dominate both services and infrastructure - even outside Germany and France - resulting in British privately-owned companies struggling to get even a toehold. I was pleased when Balfour Beatty actually made acquisitions in Europe and began winning lucrative infrastructure contracts but their withdrawal does not now bode well for other British engineering companies and train operators who may be currently completing tender documents for European work.

Add your comment

 

related

Rail industry Focus

View all News

Comment

The challenge of completing Crossrail

05/07/2019The challenge of completing Crossrail

With a new plan now in place to deliver Crossrail, Hedley Ayres, National Audit Office manager, major projects and programmes, takes a look at ho... more >
Preparing the industry to deliver trains for the future

04/07/2019Preparing the industry to deliver trains for the future

The move to decarbonise the rail network involves shifting to cleaner modes of traction by 2050. David Clarke, technical director at the Railway ... more >

Most Read

'the sleepers' blog

Maximising efficiency requires investment in data, but it’s rewards for rail could be extensive

14/11/2019Maximising efficiency requires investment in data, but it’s rewards for rail could be extensive

Rail Technology Magazine’s Matt Roberts explains the significant role data can play within the future development of the rail industry. Standing as a cornerstone of the UK transport network, the rail industry is forever striving to in... more >
read more blog posts from 'the sleeper' >

Interviews

Andrew Haines, CE of Network Rail, tells BBC News his organisation could issue future rail franchises

24/06/2019Andrew Haines, CE of Network Rail, tells BBC News his organisation could issue future rail franchises

Andrew Haines, the Chief Executive of Network Rail, has told the Today programme on Radio 4's BBC’s flagship news programme that he would not rule out his organisation issuing future r... more >
Advancing the rail industry with management degree apprenticeships

08/05/2019Advancing the rail industry with management degree apprenticeships

In answering the pressing questions of how current and future generations of managers can provide solutions to high-profile infrastructure projects across the UK, Pearson Business School, part of... more >