5 October
John Wood Group PLC ("Wood Group")
Interim Management Statement
Wood Group, the international energy services company, issues the following
Interim Management Statement. A full year trading update will be provided on 15
December 2011.
Market conditions remain as outlined in the interim results statement of 23
August. Commodity prices have remained at favourable levels for our customers
and we continue to see good momentum, despite financial market volatility.
Overall, the Group's performance for the year to date is in line with
expectations.
Growth in Engineering continues to be driven by our upstream and subsea &
pipeline activities. Our backlog and bidding pipeline remain robust.
In Wood Group PSN, we are seeing good activity levels in the North Sea and
North America. In international markets, as previously reported, performance
for the year to date has been held back by start up delays in Australia and
Oman.
In GTS, we are confident of delivering an improved second half maintenance
performance and have started recognising profit on our EPC contracts with Dorad
and GWF.
Our financial position remains strong and we anticipate good cash flow for the
second half of the year. In early October, we received an $81m net working
capital adjustment relating to the divestment of the Well Support division to
GE.
We continue to anticipate that full year performance for the Group will be in
line with expectations and believe we are well positioned to deliver good
longer term growth.
- Ends -
Notes to editors:
Wood Group is an international energy services company with $5.5bn sales,
employing more than 36,000 people worldwide and operating in 50 countries. The
Group has three businesses - Engineering, Wood Group PSN and GTS - providing a
range of engineering, production support, maintenance management and industrial
gas turbine overhaul and repair services to the oil & gas, and power generation
industries worldwide.
Enquiries:
Wood Group
Nick Gilman / Andrew Rose/Carolyn Smith 01224 851000
Brunswick
Patrick Handley/ Nina Coad 020 7404 5959
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