News & Insights

Morgan Sindall Construction & Infrastructure contributes to parent company results


Morgan Sindall Construction & Infrastructure, which has regional offices and sites across the UK, has contributed to annual results released today (20 February 2020) by parent company Morgan Sindall Group plc, the construction and regeneration group.

Morgan Sindall Group plc delivered strong profit growth in 2019, with adjusted profit before tax up 11% to £90.4m on revenue of £3,071m, up 3%. In addition, the Group’s balance sheet remains strong, with average daily net cash in the year increasing to £109m and year end net cash of £193m. With its secured workload up 14% to £7.6bn, the Group is well-positioned for future growth and another good year of progress is expected in 2020.

Pat Boyle, managing director for Morgan Sindall Construction, said: “2019 was a very successful year for us, winning and delivering some exciting projects and being named on a number of key frameworks. This was topped by being awarded Investors in People Platinum status in December. This investment in the wellbeing and advancement of our people is a key factor in our ongoing success. I look forward to continuing this trend in 2020.”

Simon Smith, managing director for Morgan Sindall Infrastructure, said: “We’re delighted with these results - we believe in improving the infrastructure of the UK for everyone and are committed to making this a reality in all aspects of our work. This commitment extends from the successful delivery of the projects themselves, to our social value work where we manage a number of social enterprise schemes focused on creating jobs in areas otherwise lacking in opportunities. We look forward to working with all our stakeholders to continue this trajectory for the benefit of everyone.”

In Morgan Sindall Construction, projects which have contributed to the annual results include:

In Scotland, the education sector continues to be a key focus, as the team completed the extension of Inverness Gaelic School, another project for longstanding customer, The Highland Council. The team has also been appointed to construct six new early years nurseries worth almost £10 million for North Lanarkshire Council and its development partner, hub South West Scotland.

In the North West, work continues apace at Paddington Village in Liverpool’s Knowledge Quarter Mayoral Development Zone, with strong progress at The Spine, the Royal College of Physicians’ new northern headquarters. Work has also begun on a new £38 million hotel and multi-storey car park as part of the same development. In Salford, the team has returned to the New Bailey development, where they are more than half way through the construction of a new Build to Rent residential development at The Slate Yard.

In Yorkshire and the North East, the team completed work on the award-winning £30 million Barbara Hepworth Building for the University of Huddersfield, and works are progressing on the £60 million Skelton Lakes Services for Extra MSA Group.

In the Central region, which spans from west Wales to the East Midlands, the team started work on the £29 million Whitmore High School in Barry and the £18 million refurbishment and extension of University House, for the University of Birmingham. In Leicester, the team handed over a £50 million mixed-use development for Charles Street Buildings, catalysing regeneration in the historic Waterside area of the city centre. In Slough, the team handed over Centre Leisure, and began work on a new hotel on the old library site, both for Slough Urban Renewal, a partnership between Slough Borough Council and Morgan Sindall Investments Ltd. During the year, the team was also named on every lot of the University of Oxford’s £1.5 billion Capital Projects Partner Framework, and secured a place on the new £1 billion South East & Mid Wales collaborative construction framework (SEWSCAP), to deliver projects from £3 million to £100 million.

In the East, the team retained its place on the £750 million Suffolk Construction Framework. There was a continued focus on the education sector, with a number of school projects including the £7 million North Denes Primary School in Great Yarmouth, the £14.6 million extension and refurbishment of Cromwell Community College in the town of Chatteris, Cambridgeshire.

In London and the Home Counties, work continues apace on a £97.5 million dual scheme for Hackney Council – Britannia Leisure Centre and City of London Academy Shoreditch Park. Work has also begun at the Bedford Passage development, the site of the former Strand Union Workhouse in Fitzrovia - said to have inspired Dickens’ Oliver Twist - to oversee and enable the safe excavation and removal of over 2,000 burials. In the Northern Home Counties, the team has been appointed to two key projects in Buckinghamshire and Bedfordshire - a £7.8 million expansion project for Aylesbury Vale District Council (AVDC) to redevelop its waste and recycling services depot on Pembroke Road, and in Bedford, work has started on a £7.1 million project to redesign and refurbish Goldington Academy, for the Department of Education (DfE).

In the South, the business handed over a £28 million sports facility for Southampton Solent University, and completed major refurbishment works to turn a former care home into a £4 million special education needs and disabilities (SEND) school in Tiverton, Devon. The team also handed over a £2.2 million extension to Torquay Academy, which included a new 300-seat theatre. In Hailsham, East Sussex, there were celebrations when the new £8 million Hailsham Primary Academy was handed over 11 weeks ahead of schedule.

In Morgan Sindall Infrastructure, the focus remains on the key sectors of aviation, highways, rail, nuclear, energy and water.

In Aviation, the division continued operations at Heathrow under the Q6 framework, completing the Block 21 outer taxiway and works to a number of landside roads and car parks. The framework has been extended by a further two years to the end of 2021, and works have started on phase two of the southern runway.

In Highways, construction began in joint venture on the M27 and M62 schemes, awarded by Highways England at the start of the year. Works also started on the redevelopment of the Old Street roundabout under a framework with Transport for London. Ongoing projects include the refurbishment of the M5 Oldbury Viaduct; preparation works for new roads and pavements as part of the Sighthill regeneration in Glasgow; and a total of six projects under the Midlands Highways Alliance and Eastern Highways Alliance.

In Rail, work started on the London Overground extension to Barking Riverside for Transport for London; and for Network Rail, work progressed on upgrades at King’s Cross and a new section of railway at Werrington Junction near Peterborough. In late 2019, the division was appointed to Network Rail’s CP6 framework for Buildings and Civil Engineering works in the Western region. The framework will generate contracts from £4m to £30m and will run until 2024 with the option of a year’s extension.

In Nuclear, the division was selected under Sellafield’s Programme and Project Partners model to deliver the site’s decommissioning programme, and work is underway on the first three projects. The framework is expected to generate revenues of c£1.6bn over 20 years. Work also continued at Sellafield under the £1.1bn Infrastructure Strategic Alliance.

In Energy, work began on a c£80m contract in Dorset, awarded by National Grid as part of its Visual Impact Provision (VIP) project. The division also secured a further c£30m of electricity cabling and overhead lines works through two existing frameworks with Scottish and Southern Electricity Networks.

In Water, Infrastructure continued its long‐standing relationship with Welsh Water, securing a position on its AMP7 (2020 to 2025) framework to upgrade and enhance the water network. Work continued on the west section of the Thames Tideway Tunnel ‘super sewer’, with the joint venture’s tunnel boring machine being the first to break through ground to complete a 500m section of the Frogmore Connection Tunnel.

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