Morgan Sindall has revealed that construction revenue and margins remain under pressure.
10am: Engineers are preparing to remove the first of more than 1,000 nuclear fuel rods from one of Fukushima’s wrecked reactor buildings, according to the BBC.
The fuel rods are in a precarious state in a storage pool in Unit 4 and while their removal is risky, it is seen as vital to stabilising the site.
9.20am: Contractor Morgan Sindall has announced an improvement in its forward order book but said Group profit margins were being impacted because of squeezed margins in its Construction & Infrastructure division.
The firm said there remained “significant competitive pressure” on construction revenue and margins, which was exacerbated by a rise in material and subcontractor costs.
Forward orders were up 6% to £3.3bn for the third quarter of the year on the half year position, according to the firm’s interim management statement for the period to 1 July.
It said the forcus for Construction & Infrastructure would remain on “operational delivery, contract selectivity through the risk management of contractual terms & conditions and working capital management”.
“As markets recover, upward pressure on material costs and subcontractor costs will provide additional management challenges,” the statement added.