Contractor says changes will come into effect for upcoming interims
Morgan Sindall has announced a restructure of its financial reporting structure which will come into effect when it publishes its half year results in August.
The contractor, which last year made a £43 million operating loss at its construction division, said the rejig had been done in order to better align its segmental reporting with its business strategy and operational management structure.
Morgan Sindall is due to publish its results for the six months to June on 2 August.
The group previously reported results across five segments – Construction & Infrastructure, Fit Out, Affordable Housing, Urban Regeneration and Investments – but is to split Affordable Housing into two segments, Property Services and Partnership Housing.
Property Services is focused on response maintenance activities provided to the social housing, insurance and general commercial sectors operating under Morgan Sindall’s Construction activities, while Partnership Housing is focused on working in partnerships with local authorities and housing associations to design, build and develop homes, planned maintenance activities operating under the firm’s Regeneration banner.
Morgan Sindall reported in February that it was having to writedown £47m for 2015 on the back of problems jobs at the Faslane naval base in Scotland. The firm also posted a pre-tax loss of £14.8m for the year compared to a £23m profit for 2014.
The Ministry of Defence contracts came with Morgan Sindall’s deal to snap up Amec’s construction and civils arm nine years ago as part of that firm’s decision to concentrate on its engineering business.