Morgan Sindall upgrades profit expectations for year

Morgan Sindall this morning said end-of-year profits would be significantly ahead of expectations after another stellar performance from the fit-out business Overbury.

CEO John Morgan says Overbury is continuing to deliver ahead of forecasts

In the trading update chief executive John Morgan said fit-out division profits had strengthened significantly due to exceptional volumes and were now expected materially to exceed the group’s previous expectations.

He said that the division’s secured order book at the end of September was £1.3bn, up 15% from the 2023 year-end, providing confidence in the full year and beyond.

Morgan Sindall’s Partnership Housing profits were now also expected to be slightly ahead of previous expectations, as it continued to grow its long-term partnerships with the public sector.

Morgan said that both Construction and Infrastructure remained on target to meet their revenue and margin targets, while the remediation plan for the loss-making Property Service business was on track to see a return to profit in 2025.

Average daily net cash for 2024 is expected to be in excess of £350m.