In a trading statement, the firm said expectations for the year ahead remained good after its order take improved in the first part of 2014.
At the end of the first quarter, the group-wide committed order book is up 9% at £2.6bn from the year-end, while the regeneration and development pipeline rose 2% at £3.1bn.
The statement said: “In construction and infrastructure, market confidence has continued to increase, however current margins across most sectors and activities remain tight, with inflationary cost pressures providing additional challenges as expected.
“The committed order book as at the end of Q1 remains strong, up 4% from the year-end to £1.6bn.”
The biggest surge in orders came at the fit-out arm, up 25% from the year-end low after recently taking six major jobs worth £70m.
But Morgan Sindall warned affordable housing construction and services remained depressed by the impact of localised labour and material cost inflation.