The Morgan Sindall board told shareholders today that trading in the second half of the year has continued to be strong. Profit margins are improving in both the Construction & Infrastructure division and in Fit Out.
鈥淐onstruction's recovery has continued and accelerated, with considerable progress towards achieving its medium term margin target of 2% expected in the second half,鈥� said group finance director Steve Crummett.
Based on its visible workload for the rest of the year together with its current contract delivery performance, the Fit Out division is expected to make 鈥渧ery strong second half margin and profit鈥�.
Morgan Sindall鈥檚 final year 2017 results will therefore be better than previously indicated when the were posted back in August.
In addition, average daily net cash for the full year is set to top 拢100m, ahead of previous guidance of not less than 拢75m.
However, a 拢1m hit will be taken in the Property Services division because of a restructuring. It has decided to exit its legacy insurance services business to better serve its core local authority customer base.
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