Van Elle Holdings recorded a meaningful increase in sales in the six months to October 31, with revenue up 16% to £73.4 million, the company said. Despite the top-line growth, underlying profit before tax for continuing operations declined to £1.9 million from £2.2 million in the same period a year earlier.
The group reported an underlying operating margin of 2.8%, down from 3.4% in the prior-year period. Management attributed the margin contraction primarily to product mix rather than an abrupt swing in overall cost structure.
Segment performance
Van Elle said its Specialist Piling and Rail operations were the standout performers during the period. The business strengthened its position in the energy and water sectors and reached a milestone by completing its 150th high-voltage substation project during the half.
By contrast, the General Piling and Ground Engineering Services divisions experienced pressure from tough market conditions and increased competition. The company also noted ongoing delays for high-rise residential work linked to approval processes under the Building Safety Act, although approvals improved - rising four-fold in the third quarter compared with the second quarter.
Balance sheet, orders and corporate actions
As of October 31, Van Elle reported net funds of £2.8 million, excluding lease liabilities, reflecting what the company described as a solid financial position. The published order book rose 8% versus the same point last year, reaching £44.9 million.
In December 2025 the company completed the disposal of its Canadian operations, a move the firm said would allow management to concentrate resources on UK opportunities. Van Elle maintained its interim dividend at 0.4 pence per share.
Outlook and management commentary
"We are pleased with the progress made during the first half of the year, and despite the challenges faced in the wider industry, the Group is starting to see signs of recovery in its core markets,"
Management pointed to significant potential in the energy sector, highlighting visibility of at least £40 million in expected annual revenue through long-term frameworks from fiscal year 2028. The board expressed confidence that it remains on track to meet market expectations for the full year.
The mixed set of results underlines a business benefitting from stronger demand in targeted sectors such as energy and rail, while also navigating weaker conditions and regulatory delays in high-rise residential and general piling markets.