Environmental, infrastructure and property services group, Hargreaves Services has reported a sharp surge in profits alongside plans to hand over leadership after more than 20 years.
The group posted strong interim results for the six months ended 30 November 2025, alongside plans to return up to £15 million to shareholders.
Revenue jumped 46.1 per cent to £183.1 million, driven by major infrastructure projects, while pre-tax profit soared nearly 170 per cent to £14.3 million.
Services brought in £171.4 million revenue, a 41.4 per cent increase, while land brought in £11.7 million.
Earnings per share (EPS) rose to 33.4 pence (HY1 2024: 12.2 pence), and the interim dividend was increased 5.4 per cent to 19.5 pence.
Cash balances strengthened to £37.3 million (HY1 2024: £15.7 million), boosted by the sale of the first tranche of renewable energy land assets for £8.8 million.
Following a wave of recent CEO departures across the sector, Hargreaves announced that Gordon Banham will step down as chief executive at the end of July, after more than 20 years in the role.
He will be succeeded by current chief operating officer Simon Hicks, who joined the group in May 2025 following four years as CEO of renewable energy firm, Evero.
Banham, who also has managing director experience from Viridor and Altrad, will retain executive responsibility for HRMS and the zinc recycling project.
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Looking ahead, services revenue is already 90 per cent secured for the year ended 31 May 2026, underpinning expectations for revenue of £270.9 million and pre-tax profit of £24.2 million, with earnings per share projected at 53.3 pence.
Growth is expected to exceed market forecasts – revenue around six per cent ahead and pre-tax profit and EBITDA rising four per cent.
Group chairman, Roger McDowell said: “This has been another period of substantial growth within our Services business, demonstrating the value that we can bring to our clients and sustainable infrastructure more generally.
“We have seen the completion of material sales within Hargreaves Land and a return to meaningful profits from our joint venture, HRMS.
“All of which bodes well for the second half and underpins the Board’s confidence in delivering a full year result ahead of current market expectations.”
Hargreaves, which has delivered major work at Sizewell C, is preparing enabling works on the Lower Thames Crossing.
Its pipeline includes clean energy, waste-to-energy, and environmental projects, positioning the group to benefit from the UK’s £725 billion infrastructure programme.
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