News releases
Results for the year ended 31 March 2010
17 June 2010
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"Strong results in a tough economic environment demonstrate resilience of our strategy."
Design and engineering consultancy group WS Atkins plc (Atkins) today announced its preliminary results for the year ended 31 March 2010.
RESULTS SUMMARY
|
Notes |
2010 |
2009 |
change |
| Continuing operations |
|
|
|
|
| Revenue |
1 |
£1,387.9m |
£1,487.2m |
-6.7% |
|
|
|
|
|
| Operating profit |
|
£113.0m |
£103.1m |
+9.6% |
|
|
|
|
|
| Operating margin |
|
8.1% |
6.9% |
+1.2pp |
| Normalised profit before taxation |
2 |
£96.5m |
£100.2m |
-3.7% |
| Profit before taxation |
|
£96.6m |
£102.7m |
-5.9% |
| Profit for the year |
|
£77.3m |
£84.2m |
-8.2% |
|
|
|
|
|
| Normalised diluted EPS |
3 |
77.8p |
82.3p |
-5.5% |
| Diluted EPS |
|
77.9p |
84.8p |
-8.1% |
| Dividend relating to the year |
|
27.5p |
26.0p |
+5.8% |
Continuing and discontinuing operations (total) |
|
|
|
|
| Profit for the year |
|
£102.3m |
£84.2m |
+21.5% |
| Normalised diluted EPS |
3 |
77.8p |
82.3p |
-5.5% |
| Diluted EPS |
|
103.1p |
84.8p |
+21.6% |
|
|
|
|
|
| Cash and cash flows |
|
|
|
|
| Net funds |
|
£302.5m |
£234.2m |
+29.2% |
| Cash flow from operating activities |
|
£126.5m |
£125.5m |
+0.8% |
|
|
|
|
|
| People |
|
|
|
|
| Average staff numbers for the year |
4,5 |
16,421 |
17,988 |
-8.7% |
| Staff numbers at 31 March |
4,5 |
15,601 |
18,017 |
-13.4% |
|
|
|
|
|
SUMMARY
- Operating profit up 9.6% and operating margin up to 8.1%.
- Restructuring costs of £16m taken above the line.
- Continuing strong operating cash flow of £126.5m and net funds of £302.5m.
- Normalised diluted EPS down 5.5%.
- Good work in hand representing 54% of budgeted revenue.
- Recommended final dividend of 18.25p, making the total dividend 27.5p, up 5.8%.
Notes:
1. Revenue excludes the Group’s share of revenue from Joint Ventures.
2. Normalised profit before taxation is defined as profit before taxation less exceptional items and any profits or losses from disposals. This is considered to be a more representative measure of underlying trading.
3. Normalised diluted earnings per share (EPS) is based on normalised profit after tax and allows for the dilutive effect of share options.
4. Staff numbers are measured on a full-time equivalent basis, including agency staff.
5. Staff numbers at 31 March 2009 include approximately 600 under notice of redundancy.
"We are pleased to report that Atkins had another good year. These strong results, delivered in a tough economic environment, demonstrate the resilience of our strategy.
Our diversified exposure to end markets gives us added resilience to market fluctuations. However, the uncertainty of the impact of UK public spending cuts continues and we are prepared for a period of tighter Government spending. The future for the built environment will bring more complex engineering challenges as clients put greater emphasis on planning and design disciplines to achieve maximum value for their infrastructure programmes. This is what Atkins does well.
The Group has good levels of work in hand and a strong balance sheet and we are well positioned for when growth returns."
| Allan Cook |
Keith Clarke |
| Chairman |
Chief executive |
Enquiries
| Atkins |
|
Keith Clarke
Chief executive |
+ 44 (0) 1372 726140 |
Sara Lipscombe
Group communications director |
|
| Smithfield |
|
| Alex Simmons |
+44 (0) 20 7360 4900 |
Notes to editors
1. Atkins
Atkins (www.atkinsglobal.com) plans, designs and enables the delivery of complex infrastructure and buildings for clients in the public and private sectors across the world. Atkins is the largest engineering consultancy in the UK and the world’s eleventh largest international design firm (sources: New Civil Engineer Consultants File, 2010; Engineering News Record, 2008).
2. Attachments
Attached to this press release are the overview of the year, extracts from the business review, the consolidated income statement, consolidated statement of comprehensive income, consolidated balance sheet, consolidated cash flow statement, consolidated statement of changes in equity and notes to the preliminary financial information for the year.
3. Analyst Presentation
A presentation for analysts will be held today at JPMorgan Cazenove, 20 Moorgate, London EC2R 6DA at 8.30am. Dial-in details are available from Smithfield for those wishing to join the presentation by conference call. A webcast of the presentation will subsequently be available via the Company's website, www.atkinsglobal.com.
4. Cautionary Statement
This press release and preliminary financial information (press release) have only been prepared for the shareholders of the Company, as a whole, and their sole purpose and use is to assist shareholders to exercise their governance rights. In particular, this press release has not been audited or otherwise independently verified. The Company and its directors and employees are not responsible for any other purpose or use, or to any other person, in relation to this press release.
This press release contains indications of likely future developments and other forward looking statements that are subject to risk factors associated with, among other things, the economic and business circumstances occurring from time to time in the countries, sectors and business segments in which the Group operates. These and other factors could adversely affect the Group’s results, strategy and prospects. Forward looking statements involve risks, uncertainties and assumptions. They relate to events and/or depend on circumstances in the future which could cause actual results and outcomes to differ. No obligation is assumed to update any forward looking statements, whether as a result of new information, future events or otherwise. |
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