Morgan Sindall says short term outlook remains challenging

Construction and regeneration group Morgan Sindall said trading, since its profit warning in November, has continued in line with company expectations for the year.

Construction and regeneration group Morgan Sindall said trading, since its profit warning in November, has continued in line with company expectations for the year.

Last month the group warned on full year profit after a further market deterioration in the UK construction industry amid public spending cuts, deferred investment decisions and high levels of competition. Today it added that the short-term outlook remained tough.

"While the short-term outlook for the group into 2013 remains challenging, we are confident in the medium-term outlook from 2014 onwards," it said.

"This reflects our success in securing a number of longer-term opportunities in growing sectors of the market including rail, energy and utilities and infrastructure," it added.

The London headquartered construction services business said its forward order book stands at £3bn with a further £0.7bn of projects at preferred bidder stage.

"In a competitive environment we continue to bid selectively across the group, targeting major project and framework opportunities in all our market sectors and we are already benefiting from increased operational efficiency as a result of the restructuring measures previously announced," it explained.

The company will announce its preliminary results for the year ended December 31st 2012 in February 2013.

Morgan Sindall said it will be reporting the profit on the sale of its equity investments within operating profit, rather than as non-operating profit.

CJ

Recommended

Best junior stocks and shares ISA platforms
Isas

Best junior stocks and shares ISA platforms

A junior stocks and shares ISA is a great way to save for your child tax-efficiently. But it can be confusing deciding which investment platform to ch…
28 Mar 2023
The top funds to invest in
Funds

The top funds to invest in

As market volatility and recessionary fears continue, here are the most popular funds, stocks and trusts investors are putting their money into
2 Mar 2023
The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves takes a look at the companies with the highest dividend yields in the UK’s blue-chip index
27 Feb 2023
The outlook for Shell shares is mixed, despite bumper profits
Energy stocks

The outlook for Shell shares is mixed, despite bumper profits

With profits surging, it looks as if Shell is on a roll, but the company’s growth from here is hard to see as Rupert Hargreaves explains.
6 Feb 2023

Most Popular

Will energy prices go down in 2023?
Personal finance

Will energy prices go down in 2023?

Ofgem’s price cap is now predicted to fall below £2,000, based on average typical use, from July, for the first time since 2022. We have all the detai…
21 Mar 2023
Government plans could see NS&I boost interest rates
Savings

Government plans could see NS&I boost interest rates

The government-backed bank has a new funding target, which could prompt it to boost the rates on its Premium Bonds, ISAs and bonds.
16 Mar 2023
Where will house prices go in 2023?
House prices

Where will house prices go in 2023?

We explore what could happen to house prices in 2023 as the market continues to slow down.
24 Mar 2023