Driven by property services, Morgan Sindall’s (MGNS) committed order book has risen by 8 per cent since the beginning of the year, to £3.8bn. Combined with a 2 per cent increase in the regeneration and development pipeline, the group expects a full-year performance in line with expectations, albeit weighted towards the first half based on current visibility of future workload.
Focusing on only taking on more profitable contracts and operational delivery, construction and infrastructure is expected to deliver margin improvement. Urban regeneration and partnership housing are performing as planned, with average capital employed for the year expected to be around £95m and £150m, respectively.
House broker Peel Hunt forecasts adjusted pre-tax profits of £82.5m and EPS of 143.9p this year, rising to £86.6m and 149.5p in 2020.
