Construction division rebranded, as group announces a 24% rise in turnover and profit of £25m
John Moss, the former managing director of Amec’s construction services arm, will head the expanded construction business. This division, rebranded Morgan Ashurst, will combine Amec’s design and project services with Morgan Sindall’s Bluestone brand, which will be dropped.
The construction arm will be divided into two reporting lines, covering small and large projects.
Amec’s regeneration business, Amec Developments, will be renamed Muse Developments. It will operate as a standalone company but will work with Lovell, Morgan Sindall’s affordable housing division.
Muse Developments will continue to be led by Nigel Franklin and Matt Crompton, who headed the Amec business.
John Morgan, Morgan Sindall’s executive chairman, announced the revised structure as the company reported results for the six months to 30 June, the period before the Amec deal. Pre-tax profit rose 18% to £25.2m and turnover was up 24% to £836m.
The results were boosted by increases in returns across all divisions, with a particularly strong performance in the affordable housing business. Profit there rose 13% to £11.5m, with turnover increasing to £192m from £186m in the corresponding period in 2006.
The affordable housing division secured its first social housing PFI in March at Miles Platting in Manchester. This will be worth £200m to Lovell over the next 12 years. It will involve the refurbishment of 1,600 homes and 1,200 new-build ones.
For more on Morgan Sindall go to www.building.co.uk/archive