Cheshire-based developer and contractor Pochin's said it was trading "creditably" but conditions remained "challenging", as it delivered an interim management statement for the period from 1 June 2008 to date.
The contracting division is benefiting from the recent re-organisation and has a reasonably healthy order book, the firm said.
The statement continued: "The division has recently been successful in tendering a new circa £20m office building for the Welsh Assembly Government in Llandudno. Nonetheless, the market remains very competitive.
"Conditions for the concrete pumping business remain difficult. Demand in Scotland and the South of England is still more resilient that that in the Midlands and North of England."
Pochin's homes division is suffering from the collapse in the market and trading at a minimum level of cost until activity returns.
On a brighter note, the firm said the property division is seeing rental income "maintained satisfactorily."
The statement added: "Property yields continue to drift with a corresponding adverse effect on investment values and development appraisals. In this context, it is good to be able to report the recent completion of a useful and profitable land sale.
"Overall the group is performing creditably in difficult conditions."
Shares in Pochin dipped 5p to 110p.