Morgan Sindall Group Plc · LSE:MGNS
Morgan Sindall — FY2025 Earnings Presentation
38 slides from Morgan Sindall's earnings presentation, Mar 16, 2026
Slide 1: Full Year 2025 Results Presentation
Lovell, John Barker Place, Oughton Full Year 2025 Results Presentation to 31st December 2025
Slide 2: Disclaimer
Disclaimer This presentation is not intended to, and does not constitute or form part of, any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities in Morgan Sindall Group Plc or any other invitation or inducemen
Slide 3: Agenda
Agenda • Group highlights – John Morgan • Financial & operational review – Kelly Gangotra • Medium-term strategy & outlook – John Morgan • Summary – John Morgan • Q&A Page 3 Morgan Sindall Group | Full Year Results 2025
Slide 4: Group Highlights
Fit Out, EDF Energy, Aztec West, Bristol Group Highlights John Morgan - Group Chief Executive Officer
Slide 5: Group highlights
Group highlights 10th consecutive year1 of record profits all from organic growth 10-yr PBTA CAGR of 18%. Dividend CAGR of 16% Secured orderbook and preferred bidder work up 17% to £19.1bn Strong cash gives us many good options to make right long-term decisions Medium-term targets increased for two
Slide 6: Financial and Operational Review
Partnership Housing, Woolwich, London Financial and Operational Review Kelly Gangotra - Chief Financial Officer
Slide 7: Key Financial Highlights
Key Financial Highlights Revenue Operating Profit1 PBTA1 EPS £5.0bn £226m £233m 370p +10% +39% +35% +33% Closing Net Cash Cash conversion Orderbook and Total Dividend Preferred Bidder . . £531m 87% £19.1bn 158p +£39m +4pts +17% +20% 1 Adjusted = before intangible amortisation of £0.4m and exceptiona
Slide 8: Summary by division
Summary by division Revenue Operating Profit / Operating Margin1 (Loss)1 £m Change £m Change % Change Partnership Housing 903 +5% 42.0 +16% 4.7% +50bps Mixed Use Partnerships 52 -43% (5.3) n/a n/a n/a Fit Out 1,784 +37% 139.9 +41% 7.8% +20bps Construction 1,159 +11% 37.0 +20% 3.2% +20bps Property Se
Slide 9: Net Cash movement
Net Cash movement Conversion of profit to cash of 87% despite subdued housing market +£196m Operating Cash Flow £104m £226m (£125m) (£9m) (£34m) (£66m) (£57m) £531m £492m Adjusted Construction Services Net Other cash / Opening operating & Fit Out working investment in non-cash Tax / Net Ordinary Clo
Slide 10: Capital allocation framework
Capital allocation framework Overarching principle to hold significant net cash balances at all times Cash generation and maintain strong • Enhance competitive advantage and future work winning balance sheet • Ensure downside protection Maximise investment in partnership • Partnership Housing - scal
Slide 11: Daily net cash balance
Daily net cash balance 600 MAX: £564m 550 500 450 400 350 300 250 200 £m 150 MIN: £270m 100 2024 2025 Total Committed Facilities 50 - 1 Jan 30 Jun 31 Dec (50) (100) (150) (200) (250) £m FY 25 Change Year end net cash £531m +£39m Average daily net cash £368m -£6m FY 2026 average daily net cash expect
Slide 12: ESG: Building a responsible business
ESG: Building a responsible business AAA ESG Leadership rating Awarded by MSCI Achieving Environmental Goals Delivering Social Value CDP A- for Climate Leadership Lost time incident rate improved to 0.18 55% reduction in Scope 1 and 2 c£2bn of Social Value delivered in year, emissions against 2019 b
Slide 13: Divisional Performance
Divisional Performance Fit Out, Astrazeneca, Academy House
Slide 14: Partnership Housing
Partnership Housing Adjusted1 Basis £m FY 25 Change • Capital invested in London residential schemes remains higher than expected due to a weak London housing Revenue 903 +5% market Operating Profit 42.0 +16% • Notable award of three partnership schemes, collectively Operating Margin 4.7% +50bps wil
Slide 15: Mixed Use Partnerships
Mixed Use Partnerships Adjusted1 Basis £m FY 25 Change • c£14m of overheads costs invested in schemes yet to start, where no profit is yet recognised Revenue 52 n/a • Capital realisation for London schemes likely to take Operating Loss (5.3) n/a longer due to a subdued London apartment market Averag
Slide 16: Fit Out
Fit Out Adjusted Basis £m FY 25 Change • Performance reflects exceptional volumes from work winning successes in a competitive environment Revenue 1,784 +37% • Excellent track record of achieving strong results through Operating Profit 139.9 +41% laser focus on both project delivery and customer exp
Slide 17: Construction
Construction Adjusted Basis1 £m FY 25 Change • Strong risk management from pre-construction stage to handover of projects to protect margins Revenue 1,159 +11% • 98% of order book delivered through frameworks, two- Operating Profit 37.0 +20% stage processes or negotiated work Operating Margin 3.2% +
Slide 18: Property Services
Property Services Adjusted Basis1 £m FY 25 Change • Property Services now fully integrated into Construction from 1st January 2026 Revenue 212 -5% • Focus on planned maintenance with decarbonisation Operating Profit 2.0 n/a work Operating Margin 0.9% n/a 1 Before intangible amortisation of £0.4m (FY
Slide 19: Infrastructure
Infrastructure Adjusted Basis £m FY 25 Change • Continuation of strong work winning momentum in nuclear and energy, with over £2bn work won in year Revenue 935 -11% • High volume of planning & design activities in the ECI1 Operating Profit 37.2 -3% phase for a number of recently awarded frameworks O
Slide 20: Medium-term strategy and Outlook
BakerHicks Allander Leisure Centre, Medium-term strategy and Outlook John Morgan - Chief Executive Officer
Slide 21: Partnership Housing
Partnership Housing Working winning successes supports delivery of medium-term targets Visibility of workload1 Delivery of medium-term targets 8,000 • £7.1bn of GDV including preferred 1,400 800 £7.1bn bidder and future scheme phases 7,000 700 1,200 6,000 • c33,000 homes to be delivered through 600
Slide 22: Mixed Use Partnerships
Mixed Use Partnerships Significant wins support increase to medium-term ROCE target towards 30% Visibility of workload1 • £6.3bn of GDV secured, including preferred bidder 700 350 • 6m sqft of non-residential mixed-use space and c22,000 homes 600 300 delivered through our partnerships Average Capita
Slide 23: Fit Out: Competitive landscape changing
Fit Out Competitive landscape changing Operating profit over last 10 years • Last 10 years – consistent strong performance 2,000 160 • Changes in competitive environment and project mix led to 1,750 140 significant profits in 2025 1,500 120 • Transition to normalisation as competitor base evolves in
Slide 24: Construction: Significant increase in high quality order book
Construction Significant increase in high quality order book and preferred bidder work Orderbook1 delivery profile 2026 - 2028 • Order book procured through 2-stage, negotiated or 1,600 frameworks 1,400 £1.3bn • Represented on most chosen frameworks 1,200 £1.0bn • High quality in delivery, leading t
Slide 25: Infrastructure
Infrastructure Medium-term target increased due to growing revenues Full length of secured orderbook and preferred bidder 6,000 £5.7bn 5,000 £4.0bn 4,000 £millions Defence 3,000 £0.2bn £1.9bn 2,000 1,000 - 2023 2024 2025 Secured Preferred Bidder Framework value not taken to orderbook or preferred bi
Slide 26: Medium-Term Targets
Medium-Term Targets Partnership Housing Operating Margin of 8%, ROCE up towards 25% Annual ROCE up towards 30% Mixed Use Partnerships (Previously annual ROCE up towards 25%) Fit Out Annual operating profit £80m - £100m Construction Operating margin 3.0% - 3.5% pa, revenue > £1.5bn1 Operating margin
Slide 27: 2026 Outlook by Division
2026 Outlook by Division Partnership Housing Solid profit growth expected, ROCE similar to 2025 levels High number of project starts leading to modest profit and low Mixed Use Partnerships ROCE Profits to significantly exceed top end of the medium-term Fit Out target range Margin to be middle of the
Slide 28: Summary
Summary • Long term organic growth strategy remains unchanged • Decentralised and empowered operating model provides agility and pace • Strong balance sheet with substantial net cash at all times • Fit Out profits now expected to significantly exceed top end of the medium-term target range • Increas
Slide 29: Questions
Questions Page 29 Morgan Sindall Group | Full Year Results 2025
Slide 30: Appendices
Appendices Page 30 Morgan Sindall Group | Full Year Results 2025
Slide 31: Summary of Group results
Summary of Group results Adjusted1 Basis £m FY 2025 FY 2024 Change Revenue 5,019 4,546 +10% Operating Profit 225.7 162.6 +39% Operating Margin 4.5% 3.6% +90bps Net interest 6.9 9.9 -30% Profit before tax 232.6 172.5 +35% PBTA margin 4.6% 3.8% +80bps Tax (58.7) (42.0) +40% Profit after tax 173.9 130.
Slide 32: Net Finance Income
Net Finance Income £m FY 25 FY 24 Interest income on bank deposits 15.3 17.4 Interest receivable from joint ventures 0.3 0.8 Loan arrangement and commitment fees (2.1) (2.2) Interest expense on lease liabilities (IFRS 16) (4.2) (3.8) Other (2.4) (2.3) Total Group 6.9 9.9 Page 32 Morgan Sindall Group
Slide 33: Adjusted earnings per share
Adjusted earnings per share £m FY 25 FY 24 Profit after tax 174.9 131.7 Adjusted for: Exceptional operating items 0.4 0.1 Amortisation of intangible assets 0.4 0.5 Tax relating to the above items (1.8) (1.8) Adjusted earnings after tax 173.9 130.5 Basic weighted average number of shares 47.0 46.8 Ad
Slide 34: Tax
Tax £m FY 25 FY 24 Profit before tax 231.8 171.9 Less: share of underlying1 net profits from JVs (0.3) (4.5) Profit subject to tax 231.5 167.4 Statutory tax rate 25% 25% Current tax charge at statutory rate (57.9) (41.9) Tax on underlying1 joint venture profits2 (0.2) (1.5) Tax on exceptional items
Slide 35: Capital Employed - Partnerships
Capital Employed - Partnerships £m Total Partnership Mixed Use Partnerships Housing Partnerships Total net land & Partnership WIP 496.3 400.1 96.2 Unsold completed units (excl. joint ventures) 66.5 61.5 5.0 Amounts invested in joint ventures1 145.2 94.0 51.2 Shared equity loans and investment proper
Slide 36: Provisions
Provisions £m Total Building Other Safety Provisions as at 1 January 2025 105.5 56.8 48.7 Additions 22.6 7.4 15.2 Utilised (14.7) (7.3) (7.4) Released (24.0) - (24.0) Provisions as at 31 December 2025 89.4 56.9 32.5 Page 36 Morgan Sindall Group | Full Year Results 2025
Slide 37: Summary balance sheet
Summary balance sheet £m 31 December 31 December 2025 2024 Intangibles 218.3 218.1 PP&E 102.2 95.1 Investments (including JVs)1 132.7 112.5 Net working capital2 (86.7) (104.9) Current and deferred tax 5.5 4.5 Net cash 531.2 492.4 Lease liabilities (73.6) (66.7) Provisions1 (89.4) (105.5) Other3 8.6
Slide 38: Payment practices
Payment practices Average time to Invoices not paid Invoices paid pay invoices with agreed terms within 60 days 23 days 3% 98% Construction & Infrastructure1 2 days 1% - 19 days 4% 98% Fit Out 1 day 1% - 27 days 1% 99% Property Services 7 days - - 29 days 8% 98% Partnership Housing 2 days - 1% Note: