Results released by Morgan Sindall Group for the half-year ended 30th June 2019 showed the firm delivered strong profit growth with adjusted operating profit up 18% to £37.5 million (HY 2018: £31.9m) on revenue of £1,421m (HY 2018: £1,423m).

The group reported a secured order book of £4.2 billion, up 19% from the year-end, with the regeneration and development pipeline now £3.3bn, up 6% from the year-end position.

With adjusted earnings per share up 15% for the period to 64.2p (HY 2018: 55.6p), and interim dividend up 11% to 21.0p (HY 2018: 19.0p), Morgan Sindall is confident of a strong performance for the second half of 2019.

Chief executive John Morgan said: “We have had a strong first half of the year and these results underline the significant operational and strategic progress being made across the group. Our strong balance sheet including our net cash position is a significant differentiator for us, allowing us to make the right long-term decisions for the business, which best positions us in our markets for continued sustainable growth.

“There is much positive momentum across the group and with our high quality, growing order book, we are excited by the opportunities ahead. Following our strong first-half performance and with the current visibility we have of the rest of the year, we now expect to deliver a result for the full year which is slightly ahead of our previous expectations.”

Morgan Sindall Construction & Infrastructure highlighted its own contribution to the parent company half-year results.

Simon Smith, managing director for Morgan Sindall Infrastructure, said: “We entered 2019 in a robust position, and these interim results show that we are continuing this positive momentum.

“Infrastructure’s strategic focus on six specific sectors and careful selection of projects within these markets, combined with our commitment to delighting our customers, stands us in good stead for continued progress.”

Pat Boyle, managing director for Morgan Sindall Construction, added: “We are dedicated to not only delivering outstanding projects that exceed expectations but also to leaving a lasting legacy by improving the social, economic and environmental wellbeing of the communities in which we operate.

“We think this genuine commitment to social value is a real differentiator for us.”

In Scotland, the construction business continues to win high-profile early years, primary and secondary education projects, with the most recent a £64m contract from hub South West and South Ayrshire Council to build two new campuses. The team has also handed over the £20m state-of-the-art Woodside Health & Care Centre in Glasgow city centre.

The infrastructure division has also been successful in securing a further circa £30m of electricity cabling and overhead line works from Scottish and Southern Electricity Networks as part of the two frameworks to which it was appointed in 2013.

Meanwhile, partnership housing specialist Lovell has seen a c40% increase in operating profit compared to the same period in 2018. The company has increased investment across the UK as the business embarks on a period of sustained growth and this has resulted in a combined national forward order book and regeneration and development pipeline of £1.1 billion   

Lovell managing director Steve Coleby said: “Our focus for the second half of the year is driving strategic growth in the business.

“Lovell’s ability to offer such a comprehensive range of solutions in unlocking land has led to our involvement in some of the UK’s most important homes schemes.

“We’re excited to deliver urgently-needed high-quality homes across all tenures and look forward to completing work on an estimated total of 3500 homes this year.”