Galliford Try has returned to profit in the half-year ending 31 December 2020, despite a 12% decline in turnover.
The business recorded revenue of £374.5m for the period, down from £423.5m in the same period a year ago.
But its pre-tax profit increased to £4.1m from a £5.6m loss, and its operating margin has risen to 1.6% from 0.6%. The business has a medium-term margin target of 2.5%.
Meanwhile, its order book is up slightly to £3.3bn, from £3.2bn in December 2019.
Galliford Try sold its Linden Homes business to Bovis last year and has no borrowings, as well as average month-end cash standing at £158m.
It said it would repay the sums it claimed under the covid-19 furlough scheme during this financial year.
Bill Hocking, chief executive of Galliford Try, said: “We have made significant progress, despite the continued challenges of the pandemic, throughout which our people have responded excellently and we have maintained the highest standards of health, safety and wellbeing. With our continued focus on risk management and rigorous project selection, we are confident that this performance will be reflected in our full year results later this year.”