Shares jump 13% after contractor reveals higher expectations for this year's pre-tax profit

Balfour Beatty is expecting higher pre-tax profits for this year than first estimated.

Profits are expected to reach 拢195m by the time results will be revealed in March next year, rather than 拢182m to 拢183m as the 2007 analyst consensus outlined.

The announcement caused Balfour Beatty鈥檚 shares to advance by 13% to 508.5p, the company鈥檚 highest daily increase since 2002. According to Bloomberg, the company now has an estimated market value of 拢2.15bn.

Tim Sharp, Balfour Beatty director of corporate communications, said that 鈥渁ll businesses are doing better than previously expected鈥�.

Especially the acquisition of US-based company Centex proved highly rentable. 鈥淲e always thought Centex would do well, but it is doing much better than we expected鈥�, Sharp said. 鈥淭here are also a few projects in the UK, US and Asia that are doing very well鈥�, he added.

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