Morgan Sindall Group has delivered a strong performance in its half-year results, marking a record revenue of £2.37 billion, up 7 per cent from the previous year.
The company’s operating profit in the half year period ended 30 June 2025 surged 40 per cent, to £91.8 million (HY1 2024: £65.5 million), while adjusted pre-tax profit rose 37 per cent to £95.9 million (HY1 2024: £70.1 million).
This strong performance was underpinned by substantial operating profit in its fit-out division which rose 41 per cent to £58.1 million (HY1 2024: £41.3 million), aided by projects like Citi in Canary Wharf.
Construction also saw a 14 per cent profit increase to £16.1 million (HY1 2024: £14.1 million), while infrastructure’s profit fell 7 per cent to £18.4 million (HY1 2024: £19.7 million).
Property services stabilised after its 2024 remediation plan, posting a small £500,000 profit and set to integrate with construction by 2026.
Notably, the partnership housing sector reported a 6 per cent increase in revenue to £405 million (HY1 2024: £381 million), despite the ongoing slow recovery in the housing market.
On the back of the record profits, the company upgraded its medium-term profit targets for fit-out (£80-100 million from £60-84 million) and construction (£1.5 billion from £1 billion).
John Morgan, group chief executive, highlighted the positive impact of government investment in construction and housing sectors, noting that recent policy commitments, as well as the launch of the National Housing Bank, are expected to further drive growth.
“These results further demonstrate our track record of delivering strong revenue and profit growth, supported by robust cash generation, enabling continued investment in our partnership businesses, while importantly supporting strong dividend growth,” he said.
Net cash increased to £390 million, up from £351 million, with an average daily net cash of £354 million, compared to £372 million last year; £41.4 million was allocated to joint operations and future supplier payments.
Its secured order book grew 39 per cent to £12 billion (HY1 2024: £8.6 billion).
A 20 per cent dividend increase was approved, now at 50 pence per share, reflecting the increase in profits, strong balance, and future outlook.
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