Infrastructure firm Kier's net debt is £50m higher than announced in statements last year, it has confirmed.
The group has revised its net debt position to £180.5m, up from around £130m and, accordingly, re-calculated its average month-end net debt for the six months ended 31 December 2018 as being £430m, up from around £370m.
Kier said in a statement: 'In the course of preparing its FY19 interim results and finalising the 31 December 2018 net debt position, the Company identified a number of adjustments (in aggregate: £10.3m), principally relating to the Group’s hedging activities, and has revised the classification of the debt (in aggregate: £40.2m) associated with certain Developments assets held for resale at 31 December 2018.
'The Group originally consolidated this debt balance within assets held for resale on its balance sheet; following the re-classification, the debt has been included within the Group’s net debt position.'
'Of the £40.2m net debt, £9.8m relates to assets which have been sold since 1 January 2019, £14.1m relates to sales which are subject to binding sale agreements and expected to complete by 30 April 2019 and the balance of £16.3m relates to assets which are either being marketed for sale by 30 June 2019 or are under offer.'
The news follows an extra £25m cost hit on its work on Broadmoor Hospital redevelopment project.
The group said: 'The first phase of the project is expected to be handed over shortly and the remaining work on the project, which accounts for less than 10% of its value, will commence shortly thereafter.'
Kier remains on course to meet its 'underlying expectations' for the financial year, with further results due on 20 March 2019.
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