Atkins

Press Release

Results for the year ended 31 March 2009

17/06/2009

“A successful year with good results against backdrop of challenging economic environment”

Design and engineering consultancy group WS Atkins plc (Atkins) today announced preliminary results for the year ended 31 March 2009.

RESULTS SUMMARY

	Notes	2009	2008	change
Continuing operations
Revenue	1	£1,487.2m	£1,313.6m	+13%
Operating profit		£103.1m	£86.7m	+19%
Operating margin		6.9%	6.6%	+0.3pp
Normalised profit before taxation	2	£100.2m	£91.9m	+9%
Profit before taxation		£102.7m	£91.9m	+12%
Profit for the year		£84.2m	£68.6m	+23%
Normalised diluted EPS	3	82.3p	66.7p	+23%
Cash flow from operating activities		£125.5m	£80.9m	+55%
Average staff numbers for the year	4,5	17,988	16,981	+6%
Staff numbers at 31 March	4,5	18,017	17,278	+4%
Total operations
Profit for the year		£84.2m	£100.0m	-16%
Diluted earnings per share		84.8p	97.2p	-13%
Dividend relating to the year		26.0p	24.0p	+8%
Net funds		£234.2m	£168.4m	+39%

SUMMARY

• Good results with normalised diluted earnings per share up 23% to 82.3p.
• Operating profit up by 19% and operating margin up to 6.9%.
• Average staff numbers up 6% but 1,200 redundancies announced in the last quarter.
• Strong work in hand representing 54% of budgeted revenue.
• Continuing strong operating cash flow of £125.5m and net funds of £234.2m.
• Recommended final dividend of 17.25p, making the total dividend 26.0p, up 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 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 another successful year. The continued development of the Group and the improvement in operating margins have been achieved against the backdrop of a challenging economic environment in the second half of the year.

We start the new financial year in a good position. The majority of our markets are stable and we are well placed to navigate through the challenging overall economic environment. We have a strong balance sheet and will continue to invest in developing the business.”

Ed Wallis	Keith Clarke
Chairman	Chief Executive

 

Enquiries

Atkins
Keith Clarke, Chief Executive	+ 44 (0) 1372 726140
Sara Lipscombe, Group Communications Director
Smithfield
John Antcliffe	+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 eighth largest international design firm (sources: New Civil Engineer Consultants File, 2009; 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 recognised income and expense, consolidated balance sheet, consolidated cash flow statement 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.

View the full announcement as a PDF.

To view this document you will need Adobe Acrobat Reader. Download Adobe Acrobat Reader free of charge.

Share Price 561.50 GBp 17.00 (3.12 %)