The Toronto-based construction firm says it will now pay a quarterly dividend of 18.5 cents per share, up from 17.5 cents per share.

The increased payment to shareholders came as Aecon reported a profit of $12.1 million or 19 cents per diluted share for the quarter ended Dec. 31.

The result compared with a profit of $32 million or 46 cents per diluted share during the same period in 2020.

Fourth-quarter revenue was $1.09 billion compared with $1.08 billion a year earlier.

Aecon was expected to report $32.9 million or 47 cents per share of profits on $1.14 billion of revenues, according to financial data firm Refinitiv.

For the full-year, it earned $49.7 million or 78 cents per diluted share on nearly $4 billion of revenues, compared with $88 million or $1.29 per share on $3.64 billion of revenues in 2020.

New contract awards yielded a $6.2-billion backlog in its fourth quarter, down slightly from a year earlier, but Aecon noted several new contract wins this year, including for a tunnel on Toronto's Eglinton Crosstown LRT.

Analysts say hurdles linked to COVID-19, supply chain woes and inflation could weigh on projects and balance sheets, but that a recovery looks promising, driven in part by demand for work on oil and gas distribution and telecommunications.

One source of uncertainty remains Bermuda's airport, in which Aecon has a 100 per cent stake to run operations, maintenance and commercial functions. The pandemic has depleted the Skyport's revenue for two years.

Aecon's 50 per cent stake in SA Energy Group — the general contractor on a section of the beleaguered Coastal GasLink pipeline project — says it and Coastal GasLink have reached "a number of informal agreements" as an arbitration process around various delays continues, with SA Energy Group demanding additional compensation for costs.

Aecon's stock price lost $1.68 or 9.7 per cent at $15.63 on the Toronto Stock Exchange by early afternoon trading on Wednesday.