Support services pay off at Mowlem


Mowlem's support services business compensated for a lower turnover from the group's construction business during the first half of the year.

The support services division increased 1.4% operating profit of £7.1m before goodwill amortisation, but turnover was 19% higher at £228m. Mowlem Pall Mall, the cleaning business acquired in 2001, produced a profit of £2.5m (£2.1m) from turnover up 10% to £56m.

The domestic insurance business formerly known as Skillbase has been "turned around dramatically in the last two years".

The construction business produced a reduced turnover of £731m, but a 9% increase in operating profit to £13.5m. The margin increased from 1.7% to 1.8%.

Mowlem's orderbook stands at £2.6bn, 32% higher than a year ago. More than 65% of orders are for 2004 and beyond.



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