Jarvis plc Preliminary Results - period 1 April 2006 to 2 April 2007

• Group turnover* £306.7m (2006: £353.8m)


• Operating profit* before non-recurring costs £3.9m (2006: £10.5m)


• Loss for the period £21.7m (2006: £51.3m)


• Successful Placing and Open Offer raising £25m gross proceeds


• Net debt at £23.6m (2006: £22.2m)


• Basic and diluted loss per share* 7.5p (2006: 37.3p)

Strategic delivery:

The turnaround strategy very much on track with key milestones delivered

• Completion of the last remaining construction contracts


• Sale of loss making Prismo Road Markings business


• Sale of Jarvis share in Accord Jarvis joint venture


• Termination of three major loss making Facilities Management contracts


• Launch of rail freight business Fastline Freight


• Continued reduction in overheads


• completion of head office move from
  London to York.

Outlook:

• Volume of Rail activity is now increasing, as anticipated, and the improved
  workflow looks set to continue.


• Healthy forward bid pipeline of opportunities across the business.


• Innovative approach and high output plant will be key elements in
  realising opportunities.


• Plans for further cost reductions to reflect the new shape of the
  business with £10m annualised cost savings expected.

Steven Norris, Executive Chairman Jarvis plc, said: "Jarvis has been able to achieve some significant milestones in the business strategy laid out in our AGM statement last year, despite an industry wide downturn in rail and plant volumes in the period. We have divested ourselves of unprofitable and distracting peripheral activities in order to concentrate on our core strengths and market leadership in rail and plant."

"Jarvis has always been committed to the use of technology and mechanisation of processes on the railway which have previously been done essentially by manual labour. This remains our key competitive advantage, and we continue to innovate for the benefit of Network Rail and our other clients."

* Continuing businesses only

For further information please contact:

Toni Jackson
Group Communications Manager - Jarvis
T: 01904 712 667
M: 07921 939031

Isabel Podda
Director - Buchanan Communications
T: 020 7466 5000

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