Construction and regeneration group Morgan Sindall has posted record results despite facing market headwinds. Muse, the nationwide placemaker, was said to have contributed positively to its parent company's strong performance after working on a host of projects.
For the year ended 31 December 2023, group revenue at Morgan Sindall climbed by 14 per cent to £4.11bn, while adjusted operating profit before tax was up 6 per cent to £144.6m.
Net cash remains strong at £461, and the company has a secured order book of £8.9bn.
Chief executive John Morgan said: "2023 was another record year for the group and these strong results reflect the high quality of our operations and the talent and commitment of our people.
"Despite facing market headwinds in the year and the disappointing losses in property services, the diversified nature of our operations and capabilities has allowed us to continue to make significant strategic and operational progress. In addition, our focus on positive cash flow together with our strong balance sheet has positioned us well to benefit over the long term from the opportunities available in our markets."
Morgan added that the company is "well-positioned for the future and on track to deliver a result for 2024 which is in line with our current expectations".
Muse, which works across the UK, has a £1.8bn development pipeline.
During 2023, 20 projects were under construction with a combined gross development value of £1.4bn. Eight schemes reached practical completion.
Across the North West, Muse continued to complete regeneration at Salford Central including record-breaking sustainable workplace, Eden, and Greenhaus (96 Passivhaus and affordable homes).
The company was also selected by Oldham Council to create a mixed-use town centre neighbourhood with up to 2,000 new homes, while construction commenced at Talbot Gateway in Blackpool to bring forward a new Civil Service Hub.
In Yorkshire and the North East, work continued at Northshore in Stockton, while topping out was achieved at the £47m mixed use Forge Island scheme in Rotherham.
Muse, on behalf of the English Cities Fund, also signed a pre-development agreement with Bradford Council to work in partnership alongside West Yorkshire Combined Authority and Homes England to construct City Village, an opportunity for up to 1,000 new homes on the site of the former Kirkgate shopping centre.
Phil Marsden, managing director at Muse – North West, said: "Working in partnership across the North West, we are proud to continue to deliver impactful regeneration and to identify new opportunities to support communities. This includes Salford Central, Stockport Exchange, and Talbot Gateway which are landmark projects driving real change.
"As part of the wider Muse business we are proud to have made an important contribution to the financial results of our parent company. Morgan Sindall Group plc."
James Pitt, managing director at Muse – Yorkshire & NE, added: "Working in partnership across Yorkshire and the North East, we have continued to deliver impactful regeneration.
This includes landmark projects such as One City Park in Bradford or The Forge in Rotherham, which will have significant and positive impacts for local communities.
"We have a strong pedigree of working in partnership with the public sector to regenerate towns and cities, grow economies, and support communities. With a strong development pipeline, we have a firm foundation and the financial strength to deliver, along with the skills and capability to drive growth."
Comments