John Morgan, CEO, said, “Our performance continues to reinforce our track record of delivering strong revenue and growth in profits leading to robust cash generation, enabling continued investment in our partnership businesses while also supporting strong dividend growth.
“Our fit out and construction services businesses delivered excellent results and made a significant contribution to group performance during the period, while our partnerships businesses faced a more challenging macroeconomic environment.
“The medium-term fundamentals for fit out remain strong and in construction we have continued to benefit from ongoing government investment commitments. As a result, we have increased the medium-term targets for both the fit out and construction divisions.”
The group raised its medium-term target for fit out to deliver an average annual operating profit of £100m–£130m (from £80m–£100m), while the target for construction was revised to deliver an operating margin of between 3.5%–4.5%, up half a percentage point.
The company described housing market conditions for its partnership housing division as ‘subdued’, but said that it still delivered a ‘solid’ profit contribution, with operating profit steady at £13.2m from the first half of 2025.
Discipline was the focus for construction, where operating profit rose 47% on revenue up 18%.
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