Morgan Sindall said that because trading had continued to be strong, it was now on track to deliver a full year performance slightly above the board’s previous expectations (set out in August).
Average daily net cash for the full year is expected to top £100m, which is also ahead of previous guidance.
By a tighter focus on operational delivery, contract selectivity and risk management, Morgan Sindall’s Construction & Infrastructure operations are expected to show further margin improvement over last year, the company said.
The total secured workload for as at 30th September 2019 was £7.3bn, up 10% from the start of the year but down 2% since 30th June. This comprised a secured order book of £4.1bn, up 15% from the year end (down 3% from the half year) and a regeneration & development pipeline of £3.2bn, which was up 4% from the year end (down 2% from the half year).
Chief executive John Morgan said: “We continue to make good progress, with positive momentum across the group’s operations. Consequently, we now expect to deliver a full year performance slightly above the board’s previous expectations. Our strong balance sheet continues to be a significant differentiator and enables us to make the right long-term decisions for the business which position us well for continued sustainable growth.”