Slides
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1Kier Group Full Year 26 Devonport Royal Dockyard
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Full Year 26 2Kier Group Agenda Stuart Togwell Chief Executive Tom Hinton Chief Financial Officer 3. Strategy 4. Summary 5. Q&A 1. Introduction 2. FY26 Highlights & Outlook
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3Kier Group Full Year 26 Introduction Stuart Togwell Chief Executive
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4Kier Group Full Year 26 Achievements in FY26 Ā£ Growth Resilience Performance ā¢ Revenue +7.5% | AOP +6.7% | Order book +8.2% ā¢ Simplified business model, creating a Ā£2.3bn Infrastructure powerhouse ā¢ Focused business, with places on key sector frameworks Ā£150bn ļØ Ā£200bn ā¢ Justice alliance blueprint (>Ā£500m revenue), delivering major national projects ā¢ Average net cash for first time in more than a decade ā¢ Strengthened executive committee, to deliver on the significant growth opportunity ā¢ Key appointments in COO and GCD roles to drive discipline and efficiency ā¢ Cyber essentials and partnerships to seize the AI and digital opportunity ā¢ EPS +8.8% | AOP margin 3.9% | Ā£25m share buyback programme ā¢ 82% Employee engagement score, 12% decrease in Accident Incident Rate ā¢ 1st in sector - FTSE Women Leadersā Review, The Times Top 100 Apprentice Employers, 1st in sector - FT European Climate Leaders, 500+apprentices, Ā£1.2bn spent with SMEs and VCSEs, Glassdoorās best places to work 2026
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5Kier Group Full Year 26 Performance Enhance quality of earnings, targeting doubleādigit EPS growth Resilience Ā£ Further strengthen the balance sheet, targeting >Ā£200m of average net cash by FY29 Growth Focus on core Infrastructure and Construction markets underpinned by structural growth trends 1 2 3 Strategic priorities for long term value creation
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6Kier Group Full Year 26 FY26 Highlights & Outlook Tom Hinton Chief Financial Officer
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7Kier Group Full Year 26 2022 20262022 20262022 2026 2022 20262022 2026 Revenue Ā£4.4bn +7.5% CAGR: +7.5% Ā£3.3bn Ā£4.4bn Order book Ā£11.9bn +8.2% CAGR: +5.0% Ā£9.8bn Ā£11.9bn Frameworks c.Ā£200bn Unrivalled range across 120 public and private sector frameworks AOP Ā£170m +6.7% CAGR: +8.9%Ā£121m Margin 3.9% ~NM Consistent margin deliveryĀ£170m Adjusted EPS 23.5p +8.8% CAGR: +8.8% 16.8p 23.5p3.7% 3.9% Revenue and profit growth, underpinned by record order book and leading framework positions Group highlights +c.Ā£50bn
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8Kier Group Full Year 26 2022 20262022 2026 Operating FCF Ā£206m +3.5% >Ā£900m of OFCF Ā£108m Ā£206m Free cash flow Ā£165m +6.2% >Ā£650m of FCF Ā£55m Ā£165m Avg. net cash +Ā£60m DPS 7.8p +8.3% Ā£11m average net cash position and growing shareholder returns Ā£11m 2021 2022 2023 2024 2025 2026 >Ā£500m improvement 2025 2026 2.6p 5.2p Interim Final Sustainable dividend with 3x cover Group highlights Ā£20m Ā£25m Share buybacks Ā£25m +25% Operating cash conversion 121% 2022 2026 121% Ahead of 90% target 90% Ā£582m1 Ā£11m 1 Debt and debt like items (including reported net debt, HMRC and KEPS)
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9Kier Group Full Year 26 204 236 10 (65) 9 16 (41) (20) (22) (36) (56) (3) 232 Net cash Jun-25 Adjusted EBITDA Working capital Capex JV dividends less profits Other Net interest & tax Adjusting items Property investment Pension & EBT Shareholder returns Other Net cash Jun-26 121% cash conversion1 and Ā£232m closing net cash Ā£m FY26 Avg. net cash2 Ā£11m FY25 Avg. net debt2 Ā£(49)m 1 Operating free cash flow conversion = % of AOP converted to cash 2 Avg. net cash/(debt) is defined as average month-end net cash / (debt) Cash flow & balance sheet Ā£206m Operating FCF Ā£165m FCF
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10Kier Group Full Year 26 Ā£2,340m Revenue +10% Ā£129m AOP +16% 5.5% Margin +30bps Key drivers ļ Water ļ Highways ļ Rail Ā£1,987m Revenue +4% 3.9% Margin nm Key drivers ļ Justice & borders ļ Education ļ Defence Ā£63m Revenue +65% Ā£9m AOP (25)% 4.3% ROCE (240)bps ļ Market impacted by macro- economic turbulence Ā£77m AOP +2% Infrastructure PropertyConstruction Growth in core Infrastructure and Construction businessesFY26 divisional highlights Order book cover1 FY27 c.95% Order book cover1 FY27 c.100% c.80% of projects with planning permission 1 Based on consensus revenue as at 14 September 2026
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11Kier Group Full Year 26 Outlook & Guidance ļ¼ Confidence FY27 adjusted EPS will be at the top end of the Boardās expectations ļ¼ Good momentum in early FY27 trading ļ¼ Recent significant contract and framework awards ļ¼ Growing order book and expanding pipeline ļ¼ Strong visibility of secured revenue
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12Kier Group Full Year 26 Strategy Stuart Togwell Chief Executive Tom Hinton Chief Financial Officer
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13Kier Group Full Year 26 Performance Enhance quality of earnings, targeting doubleādigit EPS growth Resilience Ā£ Further strengthen the balance sheet, targeting >Ā£200m of average net cash by FY29 Growth Focus on core Infrastructure and Construction markets underpinned by structural growth trends 1 2 3 Our strategic priorities for long term value creation
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14Kier Group Full Year 26 Focus on core business Long term growth markets Reduce earnings volatility Enhance quality of earnings Build average net cash position Strengthen the balance sheet Provide capital optionality Aligned with our capital allocation framework Strategic rationale Ā£ Reallocate Property capital, prioritising Growth, Resilience and Performance
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15Kier Group Full Year 26 Phased roadmap From now From FY27 to FY29 No investment in new Property developments Capital invested expected to peak in Dec-26 Plan in place for material asset realisation across next 3 years Realise cash proceeds (c.Ā£150m by FY29) Simplified model reduces earnings volatility Reallocate proceeds to strengthen the balance sheet, per the capital allocation framework Property investments realised in line with existing development plans
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16Kier Group Full Year 26 Growth Stuart Togwell Chief Executive
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17Kier Group Full Year 26 Frameworks Construction Ā£2.0bn CAGR: +8% CAGR: +6% Order book & PCSA2Ā£6.3bn Ā£77m Delivering vital social infrastructure across the UK Infrastructure Existing platform Ā£2.3bn CAGR: +9% CAGR: +16% Future work Order book & ECI 1 Ā£7.6bn Sectors Ā£129m Delivering vital economic infrastructure across the UK Energy Growth engines Water Transport Powerhouse platform for growth 15 year opportunity Existing platform Future work 10 year opportunity FY26 revenue FY26 AOP FY26 revenue FY26 AOP CAGRs refer to 2022-2026 Defence Healthcare Justice & borders Growth engines Education Private sector 5.5% FY26 AOP margin 3.9% FY26 AOP margin 1 Early Contractor Involvement (ECI) 2 Pre-Construction Service Agreement (PCSA) 3 Based on consensus revenue as at 14 September 2026 FY27 secured3c.95% FY27 secured3c.100%
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Full Year 26 18Kier Group Our credentials 10 out of 12 water company customers (England & Wales) Plus Environment Agency and Canal & Rivers Trust Currently working across 140 live projects and >100 currently in ECI >150 dedicated water M&E specialists Structural trends underpinning Growth Our existing opportunity provides Resilience Target growth Performance (annual revenue) FY26 FY29 >Ā£400m c.Ā£800m Frameworks Ā£13bn3 Pipeline Ā£3.5bn Order book Ā£1.4bn c.20% AMP 9AMP 8 +40%1 Population growth Aging UK infrastructure Climate change Water SROs2 1 Estimate as of September 2026 2 Strategic Resource Options (new reservoir and water transfer schemes) 3 Includes Environment frameworks Ā£24bn + Ā£104bn Ā£ Visibility of 15 year growth opportunity
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Full Year 26 19Kier Group Our credentials Structural trends underpinning growth FY26 FY29 >Ā£170m >Ā£400m Frameworks Ā£3bn Pipeline Ā£0.9bn Order book >Ā£680m c.50% Climate changeEnergy security 14 years working at Hinkley Point C Credentials to win major Energy projects, including 400+ ONR SQEPs1 Appointed to Sizewell Cās Civil Engineering framework (part of Ā£38bn nuclear programme) with first two projects awarded Energy Population growth 1. Office for Nuclear Regulation Suitably Qualified & Experienced Personnel Our existing opportunity provides resilience Target growth performance (annual revenue) Ā£ Multi-decade investment cycle with high barriers to entry
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Full Year 26 20Kier Group Our credentials >Ā£500m projects currently in PCSA 40 years on site at Devonport Royal Dockyard Customers include MoD, Defence Primes and AWE Complementary capability in Justice & Borders, Energy and FM Structural trends underpinning growth FY26 FY29 >Ā£160m >Ā£350m Applying justice āblueprintā to 10 year investment plan Frameworks Ā£11bn Pipeline Ā£7.1bn Order book >Ā£300m c.40% National security Aging UK infrastructure >Ā£20bn addressable market (Naval bases and estate development) Defence The appearance of U.S. Department of Defence visual information does not imply or constitute endorsement. 350 ex-forces & reservists 700+ Security Clearance Secure by Design accredited Our existing opportunity provides resilience Target growth performance (annual revenue) Ā£
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Full Year 26 21Kier Group Our credentials Structural trends underpinning growth FY26 FY29 ~Ā£170m >Ā£250m Addressing 10+ year opportunity, through end-to-end capability Frameworks Ā£57bn Pipeline Ā£12bn Order book (+latest NHP award) >Ā£600m c.200% 49 complex healthcare projects delivered since January 2024 Appointed to 12-year, Ā£37bn Hospital 2.0 Alliance Framework Recent awards include c.Ā£500m Hinchingbrooke hospital (from NHP) Population growth Aging UK infrastructure Healthcare Our existing opportunity provides resilience Target growth performance (annual revenue) Ā£
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22Kier Group Full Year 26 Kier's differentiated proposition Our differentiators ļ¼ Social value and outcomes ļ¼ Long-term strategic framework positions ļ¼ End-to-end capability ļ¼ Naturally Digital ļ¼ National scale, local delivery ļ¼ Connected, high- performing culture
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23Kier Group Full Year 26 Ā£88bnĀ£57bnĀ£13bn Ā£11bn Ā£10bnĀ£3bn Ā£9bn GovernmentHealthcareWater Defence TransportEnergy Education ļ¼ Crown Commercial (CCS) ļ¼ CCS Offsite ļ¼ Procure Partnerships National ļ¼ Regional frameworks inc. Southern Construction and North West Hub ļ¼ New Hospitals Programme (NHP) ļ¼ NHS Shared Business Services ļ¼ NHS England Procurement (ProCure23) ļ¼ Frameworks with 10 companies across the UK ļ¼ 140 live projects ļ¼ Environment Agency Coastal Defence ļ¼ Canal and Rivers Trust Selected Frameworks (120 in total), shown at total advertised value Terms refer to the longest current frameworks for each sector ļ¼ DIO: Strategic Alliance ļ¼ DIO: Single Living Accommodation ļ¼ Devonport 10 Dock ļ¼ Clyde Commercial ļ¼ National Highways ļ¼ Network Rail ļ¼ Northamptonshire and Shropshire road maintenance ļ¼ British Airways ļ¼ Legacy Concrete Roads ļ¼ Sizewell C: Major Civils ļ¼ Edison ED2 Capital Delivery Alliance ļ¼ Pagabo Civil Engineering and Infrastructure works ļ¼ Mains Distribution and Emergency Services ļ¼ School Buildings: CF25 ļ¼ University of Cambridge 12y 5y5y5y5y 8y 8y Unrivalled positions on c.Ā£200bn of frameworks across public & regulated sector * Growth sectors Core sectors * Photo: UK MOD Ā© Crown copyright 2022'. AMP cycle
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24Kier Group Full Year 26 North, Scotland & NI Ā£1.0bn Ā£3.0bn East & Midlands Ā£1.7bn Ā£4.7bn West & Wales Ā£0.8bn Ā£1.3bn London & South Ā£0.9bn Ā£2.9bn 2. Creating social value and opportunities across the regions 3. Deeply embedded in regional supply chains and decision making The benefits of Kierās national scale and local delivery: 1. Operating leverage and skill set from national footprint National scale, local delivery of economic and social value Revenue FY26, Order Book and Pre-Construction Service Agreement (PCSA) /Early Contractor Involvement (ECI) at June 2026 Ā£0.7bn Ā£0.7bn Ā£0.3bn Ā£0.3bn FY26 revenue Order book PCSA/ECI
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25Kier Group Full Year 26 >800 person Design capability 2. Delivering outcome-led design management based on deep experience of real-world delivery 3. Capture value from adjacencies and specialist capability Approach: 1. Partnering with customers at each stage of the project lifecycle Uniquely combined end-to-end capability Connected, high-performing culture 4. Consistent c.Ā£2bn pipeline of works in 1:1 PCSA/ECI* stage >Ā£2bn Works in PCSA/ECI stage >400 Live projects >3,500 Workplace, facilities and estate management solutions
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26Kier Group Full Year 26 Connected, high-performing culture Ā£ Supporting Growth Providing Resilience Driving Performance Dedicated divisional leadership Specialist sector accreditations Deeply embedded Clients & Markets team 82% employee engagement >500 apprentices Multi-decade knowledge COO and GCD functional leadership Consistent end-to-end delivery
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27Kier Group Full Year 26 Our purpose is to create lasting value through essential infrastructure Powerhouse platform for growth, focused on economic and social infrastructure Strong forward view of order book, frameworks and pipeline Significant growth opportunities in sectors, with proven credentials Underpinned by long term structural trends Defence & energy security Population growth Aging UK infrastructure Climate change Construction Infrastructure FY26 FY29 Water Defence Energy Healthcare Frameworks c.Ā£200bn Pipeline Ā£65bn Order book Ā£11.9bn c.Ā£900m c.Ā£1.8bnRevenue
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28Kier Group Full Year 26 Resilience & Performance Tom Hinton Chief Financial Officer
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29Kier Group Full Year 26 1. Order book cover based on FY27 and FY28 consensus revenue as at 14 September 2026 2. Cost reimbursable includes target-cost and cost-plus contracts Work in hand Order book (Secured & Probable) PCSA &ECI Ā£11.9bn (+8%) >Ā£2bn Order book cover1 Repeat business>90%FY27 FY28 >95% >70% Mix of work FY26 revenues 95% cost reimbursable/two-stage2 By contract type 76% Public 13% Regulated 11% Private By customer type Resilience underpinned by quality order book and commercial mix c.90%
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30Kier Group Full Year 26 Operating* FCF Property capital Tax Interest Fire & Cladding Total allocatable capital Maintenance capex Ordinary dividend Capital for strategic allocation Significant capital generated by core business and Property reallocation c.Ā£130m c.Ā£150m c.Ā£150mFY27-FY29 Primary allocation Ā£600m - Ā£700m Ā£600m - Ā£700m Ā£450m - Ā£550m *before capex
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31Kier Group Full Year 26 Capital allocation framework Ongoing investment to support and grow the business Cover of 3x Avg. net cash >Ā£200m target by FY29 Consider selective value accretive acquisitions in core markets Excess capital returned to shareholders via share buybacks 1 2 3 4 5 Capex Balance sheet Inorganic growth Enhanced shareholder returns Dividend Strategic allocation Primary allocation c.Ā£500m (FY27-FY29)
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32Kier Group Full Year 26 Revenue growth Enabled by order book quality and bid discipline Supported by strong secular trends and Kierās differentiators Leading margins Cash flow generation, Property capital allocation and bond repayment Reduced interest costs A B Delivering significant total shareholder returns 23.5p FY26 EPS AOP growth Reduced interest costs FY29 EPSMedium-term EPS >10% EPS CAGR Ordinary dividend - Grow in line with earnings - 3x cover %B A Significant growth and shareholder value across the medium-term EPS growth calculated on a constant share count (437m at 30th June 2026)
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33Kier Group Full Year 26 Medium-term targets Revenue & earnings Cash flow & balance sheet Shareholder distributions Revenue growth Mid-single digit Double-digit EPS growth Operating free cash flow conversion >90% Avg. net cash >Ā£200m by FY29 4.0-4.5% Adjusted operating margin Dividend in line with earnings 3x cover
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34Kier Group Full Year 26 Summary Stuart Togwell Chief Executive
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Full Year 26 35Kier Group Our investment case ā creating value from a stronger, more focused Kier Significant momentum and market opportunity Strong financial profile Enhanced shareholder returns c.Ā£200bn Framework positions 5% CAGR Order book growth (FY22-FY26) 7.5% FY26 revenue growth 3.9% Top tier industry margin 121% FY26 operating cash flow conversion Cash generation and reallocation of Property capital Lower finance costs in medium-term from bond repayment Significant capital for strategic allocation Double-digit EPS growth Medium-term targets Revenue growth Mid-single digit Adjusted operating margin 4.0-4.5% Operating cash flow conversion >90% Avg. net cash >Ā£200m by FY29 Ā£65bn Pipeline 3x dividend cover
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36Kier Group Full Year 26 Q&A
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37Kier Group Full Year 26 Appendix
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38Kier Group Full Year 26 Executive Board members Executive committee Stuart Togwell Chief Executive Tom Hinton Chief Financial Officer Niki Steel Chief Human Resources Officer James Askew Group Commercial Director Stephen Milne General Counsel & Company Secretary Louisa Finlay Chief Operating Officer Martin Staehr Group Managing Director, Kier Construction Joe Incutti Group Managing Director, Kier Infrastructure Leigh Thomas Group Managing Director, Kier Property
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39Kier Group Full Year 26 Group financial summary Ā£m FY26 FY25 ā²ā¼ Infrastructure 2,340.1 2,136.0 9.6% Construction 1,986.8 1,910.5 4.0% Property 63.4 38.4 65.1% Other 2.7 2.9 (6.9%) Group 4,393.0 4,087.8 7.5% Revenue Adjusted operating profit (AOP) Ā£m FY26 FY25 ā²ā¼ Infrastructure 128.7 111.0 15.9% Adjusted operating margin (%) 5.5% 5.2% 30bps Construction 76.5 75.0 2.0% Adjusted operating margin (%) 3.9% 3.9% - Property 9.1 12.2 (25.4%) Other (44.5) (39.1) (13.8%) Group 169.8 159.1 6.7% Adjusted operating margin (%) 3.9% 3.9% -
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40Kier Group Full Year 26 Adjusting items Ā£m FY26 FY25 Amortisation of acquired intangibles 19.0 21.6 Fire / cladding costs 32.1 17.0 Property-related items - 4.8 Other - 2.0 Total adjusting items to continuing operating profit 51.1 45.4 Finance costs 1.5 1.9 Total adjusting items to continuing profit before tax 52.6 47.3 Cash cost 19.7 17.8
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41Kier Group Full Year 26 Financing & Liquidity 250 190 2027 2028 2029 Senior Notes RCF Maturities by calendar yearā¢ Ā£440m of committed facilities in place: Ā£ām o Ā£250m Senior Loan Notes due February 2029 o Ā£190m RCF to October 2028 with two-year extension option ā¢ Kier Group credit ratings of BB+ (S&P and Fitch) provide financing optionality
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42Kier Group Full Year 26 Pension Net pension scheme asset of Ā£59m ā¢ As at 30 June 2026, the Groupās net pension scheme surplus was Ā£59m ā¢ Increase was predominantly due to lower present value of liabilities reflecting the higher discount rate ā¢ During the year, the Group agreed triennial funding valuations for six of its seven defined benefit contribution schemes. Aggregate future deficit contributions will continue in line with the level of contributions made in FY26 * *mid point Ā£m Jun 26 Jun 25 ā²ā¼ Group Pension Schemes Market value of assets 1,140.1 1,135.2 0.4% Present value of liabilities (1,080.8) (1,088.0) 0.7% Net pension asset 59.3 47.2 25.6% Assumptions Jun 26 Jun 25 Discount rate 5.75 5.50 25bps Inflation rate (RPI) 2.95 2.90 5bps Inflation rate (CPI) 2.45 - 2.75 2.20 - 2.65 18bps
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43Kier Group Full Year 26 ESG performance Delivering measurable environmental, social and economic value to the UK ā important to our customers (>10% of scoring) and our employees (82% employee engagement) Environmental, Social and Economic impact ā¢ First CDP A rating (for climate disclosure) and Kier in top 4% of companies ā¢ 84% improvement in Significant Environmental Incident Rate (āSEIRā) at 7 (FY25: 47) ā¢ Accident Incident Rate (āAIRā): 101, 12% decrease on FY25 and All Accident Incident Rate (āAAIRā) 269, 22% decrease on FY25. ā¢ Rated one of Glassdoorās Best to Work 2026 ā¢ Ranked 16th in FTSE 250 and 1st in sector - FTSE Women Leadersā Review ā¢ Over 500 people engaged in apprenticeship programmes (The Times Top 100 Apprenticeship Employer) ā¢ Average supplier payment days maintained at 32 days (H1 FY26: 32 days) and 95% of payments made within 60 days (H1 FY25: 95%). ā¢ Spent c.Ā£1.2bn with SMEās and VCSEās, creating local employment opportunities through our regional supply chain network.
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44Kier Group Full Year 26 Group revenue analysis 37% 20% 27% 15% 18% 9% 9% 5% 7% 4% 2% 1% 35% 16% 23% 11% 12% 5% 8% 4% 7% 3% 6% 3% 45% 1% 16% 16% 2% 20% 9% 3% Property Construction Infrastructure Services Total Rail Highways Water Environment Energy Design Justice & Borders Education Other Public Healthcare Defence Commercial Regeneration Alternatives Industrial Office Other
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45Kier Group Full Year 26 Disclaimer No representation or warranty, express or implied, is made or given by or on behalf of Kier Group plc (the āCompanyā and, together with its subsidiaries and subsidiary undertakings, the āGroupā) or any of its directors or any other person as to the accuracy, completeness or fairness of the information contained in this presentation and no responsibility or liability is accepted for any such information. This presentation does not constitute an offer of securities by the Company and no investment decision or transaction in the securities of the Company should be made on the basis of the information contained in this presentation. This presentation contains certain information which the Companyās management believes is required to understand the performance of the Group. However, not all of the information in this presentation has been audited. Further, this presentation includes or implies statements or information that are, or may be deemed to be, "forward-looking statements". These forward-looking statements may use forward-looking terminology, including the terms "believes", "estimates", "anticipates", "expects", "intends", "may", "will" or "should". By their nature, forward-looking statements involve risks and uncertainties and recipients are cautioned that any such forward-looking statements are not guarantees of future performance. The Company's or the Groupās actual results and performance may differ materially from the impression created by the forward-looking statements or any other information in this presentation. The Company undertakes no obligation to update or revise any information contained in this presentation, except as may be required by applicable law and regulation. Nothing in this presentation is intended to be, or intended to be construed as, a profit forecast or a guide as to the performance, financial or otherwise, of the Company or the Group whether in the current or any future financial year. This presentation and its contents should not be distributed, published or reproduced (in whole or in part) or disclosed by recipients to any other person. Certain information in this presentation has been extracted from the announcement of FY26 preliminary results made by the Company on 15 September 2026 and this presentation is not a substitute for reading that announcement in full.