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Negotiated and long term contracts account for 51% of Mowlem's work, according to results published on Tuesday.

Increased emphasis on this type of work helped increase pre-tax profits to £30.3M from £24.5M in 2001 on turnover of £1.7bn, up from £1.4bn.

The contractor said that margins had improved as a result of work in all infrastructure areas. Orders were also lifted by a push into the Irish market and PFI work in the UK and Australia.

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