Morgan Sindall Group passed £5bn revenue for the first time last year as margins widened and pre-tax profit leapt 35% to £233m.

Despite wider industry headwinds the firm’s order book climbed to a record £19bn including preferred bidder work, mainly on the back of regeneration and construction successes.

The group posted revenue of £5.02bn for the year to 31 December 2025, up 10% on £4.55bn last time.

Adjusted operating profit, driven by an outstanding year for fit-out surged 39% to £226m, driving operating margin up to 4.5%.

Chief executive John Morgan said: “We continued to make significant strategic progress across the wide number of sectors the group operates in, entering 2026 with a record level secured orderbook and work at preferred bidder stage up 17% to £19.1bn from the prior year.

“As a result, the improved outlook has given us the confidence to increase the medium-term targets for both the Mixed Use Partnerships and Infrastructure divisions.”

He added: “Our balance sheet, which is supported by a substantial average daily cash position, continues to allow us to focus on making the right decisions to drive long-term sustainable growth while also supporting strong returns to shareholders in the year, with the full year dividend increasing by 20% to 158p per share.”

The secured order book rose 5% to £12bn, with preferred bidder work up 17% to £7.1bn, taking the combined pipeline to £19.1bn.

Morgan said “Looking ahead, and despite some of the current headwinds in the housing market, we remain positive for the year ahead and are on track to deliver an outcome for 2026 which is in line with revised expectations as set out in our trading update released on 12 February 2026.”

Cash generation remained strong, with year-end net cash up to £531m from £492m. The board lifted the total dividend 20% to 158p per share.