Trading Statement

Galliford Try PLC
15 January 2008



                        GALLIFORD TRY PLC - TRADING UPDATE


Galliford Try plc, the construction and housebuilding group, is providing the
following update on trading for the half year to 31 December 2007.


Key Highlights:


-  Record first half trading, with half year results expected to be 
   substantially ahead of last year and in line with the board's expectations


-  Construction order book maintained at £2.0 billion


-  £9.3 million acquisition of Kendall Cross, north east affordable housing 
   contractor.


-  Integration of Linden Homes gone well, doubling size of housebuilding
   business, resulting in half year records:


-  Completions of 1,174 units (2006: 593 units)


-  Total sales in hand of £473 million (2006: £204 million)


-  Sales in hand for the financial year to 30 June 2008 of £410 million
   represents 65% of projected sales for the year (2006: £197 million 
   representing 70%)


-  Landbank of 10,641 units (2006: 4,818 units)


-  Very strong construction cash flows - net debt below £50 million at 31
   December 2007 compared to £99 million at 30 June 2007.


Operations


The building division continues to perform well in strong markets across the UK.
We have been particularly successful in securing a spread of projects in the
Midlands and Scotland that will follow on from our multi school PFI projects in
Northamptonshire and the Highlands of Scotland, which will complete during 2008.
Our Infrastructure division is also delivering a good performance and is
benefiting from very positive markets with its public and regulated sector
clients. Concentrating on the water, highways, rail, remediation, flood
alleviation and renewable energy sectors, during the period the business secured
additional work within its existing frameworks for its key clients as well as a
number of one off projects. Overall, our construction order book has been
maintained at £2.0 billion.


We have made excellent progress in the affordable housing and regeneration
market and are now working on eight major regeneration schemes, six of them with
English Partnerships. With the £9.3 million acquisition of Kendall Cross in
November, a long established affordable housing contractor based in Newcastle
upon Tyne, we also established a presence in the north east of England where
significant public sector housing expenditure is planned.


Our housebuilding division has been trading in an increasingly difficult market
during the period as the tightening of the credit markets and lower consumer
confidence took hold. We started the financial year with record sales carried
forward and have benefited from our policy of forward selling, our concentration
on individually designed developments and our minimal exposure to consortium
sites. The integration of Linden Homes, acquired in March 2007, has gone well
and has doubled the size of our housebuilding division. With a full six months'
contribution from Linden, completions for the period were up 98% on last year at
1,174 units (2006: 593 units) at an average selling price of £203,000, compared
with £221,000 a year ago. This reflects a higher proportion of affordable homes
and discount levels broadly similar to last year. At 31 December the division
has reserved, contracted or completed sales with a total value of £473 million
(2006: £204 million) of which £410 million (2006: £197 million) is for the
current financial year to 30 June 2008. This represents 65% of the projected
sales for the full year, compared with 70% at the same point last year.


Outlook


The Group has had a record first half and expects to report half year results
substantially ahead of last year and in line with the board's expectations. It
is too early to forecast the housebuilding market into the spring selling
season, although we are confident that the resilience of our business model and
our strong cash management will mitigate the effects of more challenging
conditions. Our building and Infrastructure divisions, with their strong spread
of work across the public, regulated and private sectors, are performing well
with good prospects. We continue to make excellent progress in developing our
affordable housing and regeneration business.


The board therefore remains confident of the future prospects for the Group.


Interim Results


The Company's interim results for the half year to 31 December 2007 are expected
to be announced on Thursday 21 February 2008.


Further enquiries to:


Greg Fitzgerald, Chief Executive          Galliford Try             01895 855219

Frank Nelson, Finance Director            Galliford Try             01895 855226

Ann-marie Wilkinson / Dan de Belder       Bell Pottinger 
                                          Corporate & Financial    020 7861 3232


                      This information is provided by RNS
            The company news service from the London Stock Exchange