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Public projects lift for Morgan Sindall
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24 February 2009
Revenues were up 20% to £2.5 billion last year, profits rose 8% to £62.3 million, and Morgan is lifting the dividend 11% to 42p.
The bullish update reflected Morgan's focus on Government building projects in education, healthcare and transport. The firm also benefited from its acquisition of Amec's urban regeneration arm in mid-2007.
Profits at Morgan's construction business jumped 94% thanks to the deal and demand for new schools and college buildings, which offset the downturn in commercial property. Its infrastructure business was given a boost by Tube tunnelling contracts at Shepherd's Bush and King's Cross.
However, the office fit-out unit suffered from the turmoil in the City and beyond while the affordable housing division was hit by the collapse of the housing market.
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