• Performance demonstrates resilience and flexibility in challenging markets

‘Against a backdrop of significantly reduced customer activity, the Group delivered EBITA of $470m in line with expectations and 14.5% lower than 2014. Our continued actions to reduce costs, improve efficiency and broaden our service offering through organic initiatives and strategic acquisitions, position us as a strong and balanced business in both the current environment and for when market conditions recover.’ – Robin Watson, Chief Executive

Financial Summary 2015
Total Revenue 5,852.4 7,616.4 (23.2)%
Total EBITA 469.7 549.6 (14.5)%
EBITA Margin 8.0% 7.2% 0.8pts
Revenue from continuing operations on an equity accounting basis 5,000.6 6,574.1 (23.9)%
Profit from continuing operations before tax and exceptional items (after tax on JV profits) on an equity accounting basis 320.2 414.5 (22.8)%
Profit from continuing operations before tax after exceptional items (after tax on JV profits) on an equity accounting basis 138.6 475.1 (70.8)%
Adjusted diluted EPS 84.0c 99.6c (15.7)%
Total Dividend 30.3c 27.5c 10.2%


  • Relatively resilient performance. EBITA of $470m in line with expectations; 14.5% lower than 2014
  • Management focus on operational utilisation
  • Delivered overhead cost savings of $148m which will sustain into 2016
  • Underlying headcount reduced by over 8,000 people (c. 20%)
  • Continued progress on strategic acquisitions including expansion into the US brownfield petrochemical market.
  • Total cash expenditure on new acquisitions of $234m
  • Engineering – Impact of Upstream and Subsea project deferrals and cancellation partly offset by growth in Downstream and robust performance in Onshore Pipelines
  • PSN Production Services – North Sea impacted by reduction in project and non-essential maintenance work and operator efficiency initiatives. US onshore impacted by significant pressure on volumes and pricing following strong 2014
  • PSN Turbine Activities – Previously indicated exceptional non-cash impairment of EthosEnergy of $159m
  • Strong balance sheet and cash generation. Net debt of $290m (0.5x 2015 EBITDA) and cash conversion of 119%
  • Dividend up 10%. Dividend cover of 2.8 times. Intention remains to increase the dividend for 2016 by a double digit percentage.

Article Tags

Wood Group
United Kingdom
West Europe

North Sea


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to invest or otherwise. The value of an investment may fall. The investments referred to in this
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