Last checked at 19 Jul 2017 07:00
19 July 2017
Morgan Sindall Group plc
Trading Update
Morgan Sindall Group plc ('the Group') announces that trading for the six months to 30 June 2017 has been substantially ahead of the prior year comparative period.
Trading in the first half has been strong, driven primarily by margin and profit growth in Fit Out and by margin improvement in Construction & Infrastructure. Partnership Housing and Urban Regeneration have both traded as expected, with Urban Regeneration lower than in the prior year period due to the phasing of its scheme completions. In addition, the first half has seen modest profit contributions from both Property Services and Investments.
As a consequence, the half year results for the Group are expected to show profit before tax1 in the region of £23.5m, reflecting growth on the prior year of around 45%.
The cash performance has again been strong, with average daily net cash for the first half of £132m. The net cash as at 30 June was £97m.
The performance of Fit Out in the first half, its current trading patterns and the forward visibility provided by the size and quality of its order book, indicate an out-turn for the year for Fit Out which is much stronger than previously expected. Taken together with the expected margin improvement in Construction & Infrastructure and the second half weighting to Partnership Housing, the Group now anticipates that its 2017 full year results will be significantly ahead of its previous expectations.
The Group will announce its half year results to 30 June 2017 on 8 August 2017.
1 before amortisation
This announcement contains inside information. The person responsible for the release of this announcement on behalf of Morgan Sindall Group plc is Steve Crummett, Group Finance Director.
ENDS
Morgan Sindall Group
Morgan Sindall Group plc is a leading UK construction and regeneration group with revenue of c£2.6bn, employing around 6,000 employees and operating in the public, regulated and private sectors. It operates through six divisions of Construction & Infrastructure, Fit Out, Property Services, Partnership Housing, Urban Regeneration and Investments.
ENQUIRIES:
Morgan Sindall Group plc Tel: 020 7307 9200
John Morgan, Chief Executive
Steve Crummett, Finance Director
Instinctif Partners Tel: 020 7457 2020
Matthew Smallwood
Helen Tarbet
Rosie Driscoll