Builder Morgan Sindall - parent of Birmingham-based office specialist Lovell - was in confident mood yesterday, predicting year-on-year growth in a update ahead of first half results.
The company said the market for its Fit Out division had grown strongly during the first half and the division had been successful in winning new contracts worth £231 million.
As a result, Fit Out is expected to make a higher contribution for the full year compared to previous forecasts. The success of Morgan Sindall's Construction business also continued. Revenue is expected to be in line with the previous year and the order book has been maintained, the group said.
However, Morgan's Infrastructure Services arm saw only modest revenue growth.
The costs of the division's reorganisation will impact on the current year, the group said.
Overall, the business clinched £330 million of new contracts in the first half.
Morgan Sindall added that its forward order book stood at £3.1 billion, an increase of 11 per cent since the beginning of the year.
Chairman John Morgan said: "The group has made further progress in the first half of 2006, winning a number of new contracts giving us another record order book.
"All of our market sectors are growing, which offers exciting opportunities and provides a positive outlook for the group going forward into the second half."