Leeds-based Renew sees a healthy pipeline of merger and acquisition opportunities

He added: “We have got a strong balance sheet and this give us firepower.”

During the period, group revenue increased 17.2 per cent to £552.8m and the adjusted operating profit rose by 17.0 per cent to £33.1m.

In a statement, Renew said it had delivered another record trading performance for the first six months of the financial year, continuing the strong momentum seen last year.

The statement added: “This excellent performance, which was achieved despite a number of macroeconomic headwinds facing the wider market, serves to demonstrate the continued resilience and differentiated nature of our high-quality, low-risk business model, alongside the continued strong demand in our end markets.”

“It was pleasing to see the Government’s 2024 Spring Budget re-affirm its commitment to invest in the UK’s infrastructure, with over £600bn of public sector investment planned over the next five years to meet the target of net zero carbon emissions by 2050.”

Mr Scott commented: “I am very pleased to report we have delivered another record trading performance in the period.

“We are delighted with our early success in extending and securing frameworks across the new funding periods in Water and Rail.”

He added: “These successes, together with the core characteristics which underpin the markets in which we operate, provide highly visible revenue streams and reinforce our significant confidence in delivering against our growth targets in the medium to long term.

“The recent acquisitions of TIS and Route One have further strengthened our unique offering as we broaden our expertise in our target markets and we continue to look forward to executing on the significant growth opportunities, both organic and inorganic, in line with our strategy.”

Renew said it was continuing to focus on increasing collaboration between its businesses which, “with their complementary skillsets, positions us well to leverage our expertise to tender for larger frameworks going forward”.

Of the group’s 5,000 staff, around 2,000 are based in and around Yorkshire, and Mr Scott said Renew was seeking to grow its talent pool in the region.

The statement added: “Regardless of the outcome of the upcoming UK general election and wider economic pressures, we

believe the mission-critical nature of our work and the highly visible, reliable, committed regulatory spending periods which underpin our markets give us confidence that such challenges will not impact the group’s opportunities now or in the future.

“Of particular note during the period has been the group’s strong double digit organic growth which has been driven by ongoing demand across our markets for our non-discretionary services as well as the impact of multiple weather events over the winter that have required a reactive response to ensure that the networks continue to operate safely.”