John Wood Group (WG)

John Wood Group 2017 interim results

Headlines

Headlines

Financial highlights

The Telegraph online declared ‘Budget 2015 – Investors face tax raid on dividends’. Whilst this is true for those with large income portfolios, not everybody loses out and in fact those who do not currently invest in stocks and shares, there is now a tax incentive to do so.

Financial Summary

Performance in line with expectations and up on 2013 led by strong growth in
Wood Group PSN Production Services

Total Revenue of $7,616.4m up 7.8% on 2013 ($7,064.2m) and Total EBITA of
$549.6m up 3.1% on 2013 ($533.0m)

Revenue from continuing operations on an equity accounting basis up 14.3% at
$6,574.1m (2014: $5,753.2m)

Profit from continuing operations on an equity accounting basis before tax and
exceptional items (but after tax on JV profits) up 10.9% at $414.5m (2013:
$373.7m)

Adjusted diluted EPS of 99.6 cents (2013: 98.6 cents)

Total dividend of 27.5 cents per share (2013: 22.0 cents) up 25%; intention remains to increase US dollar dividend per share from 2015 onwards by double digit percentage

Strong cash generation and robust balance sheet providing security and
flexibility

$217.3m invested in strategic M&A

Internal SG&A cost reductions and deferrals of over $30m to be delivered

Anticipate performance in 2015 to demonstrate relative resilience in a
challenging market

Half year results for the six months ended 30 June 2014

Benefitting from strong US shale activity; overall growth outlook for 2014
unchanged

Financial Summary

  Total revenue1 of $3,801.2m up 10% and Total EBITA in line with H1 2013 at $243.9m

  Continue to anticipate full year Total EBITA to be in line with expectations and up on 2013

  Revenue from continuing operations on an equity accounting basis up 16% at $3,224.4m (2013: $2,788.7m)

  Profit from continuing operations on an equity accounting basis before tax and exceptional items up 15% at $182.4m (2013: $159.0m)

  Adjusted diluted EPS of 44.4 cents (2013: 44.5 cents)

  Interim dividend of 8.9 cents (2013: 7.1 cents) up 25%

Financial summary

DividendMax write up 14/2/2014