Morgan Sindall's profits rise to £21m

Morgan Sindall has made a record pre-tax profit of £21m and Bluestone, the group's loss-making construction division, has moved out of the red.
The group's latest financial results (12 months to the end of December 2003) show turnover 10% higher at £1.1bn (£1bn) while pre-tax profit climbed 35% from 2002's figure of £16m.
Morgan Sindall was formed 10 years ago by John Morgan and John Lovell, as Morgan jumped sideways from an alternative career path as a punk rock promoter. A series of acquisitions has created a major UK group with four business streams: fit-out; construction; infrastructure services; and affordable housing.
The group had been firing on three cylinders until it recognised that remedial treatment was needed to resolve construction problems. The result was that the Bluestone brand was created from its six regionally based construction businesses. Turnover in Bluestone has been cut from £400m to £300m. No further trimming back is anticipated.
The push is on to lift the proportion of Bluestone's workload towards key clients.
Last year, Bluestone ran up losses of £5m, so even getting out of the red reflects a major turn-round.