Chief executive John Morgan will tell shareholders that the contractor has made "a good start" to 2005.

Morgan Sindall has secured major contracts during the first quarter of 2005.

Chief executive John Morgan said that the fit out division had secured a number of significant contracts and had been boosted by continual improvement in the commercial sector.

In construction Morgan said it had reached financial close on its third NHS LIFT scheme at South East Hampshire, and had been successful in securing further public sector framework agreements.

The affordable housing division secured major refurbishment programmes for key clients including Wirral Partnership Homes and the London Borough of Croydon.

Morgan said: “Overall, our divisions are performing in line with expectations, trading conditions are positive and we expect the Group to take a further step forward in 2005.”