20th Sep 2019 10:02
(Alliance News) - Keller Group PLC on Friday said it expects to report annual performance broadly unchanged from the prior year due to a mixed performance across its three operating regions.
The geotechnical company said it expects 2019 results to be broadly flat versus 2018, with an improvement in margin progressively driving an increase in profit.
Keller explained that its full-year result are "more dependent than usual" on the timing of expected large contract awards and the crystallisation of a number of customer claims that are in the final stages of negotiation.
Geographically, the company said trading momentum in North America in the second half of 2019 has started more slowly than previously expected.
Trading in Europe, the Middle East and Africa remains mixed, with good progress in Keller's key continental European businesses partly offset by challenging market conditions in "some of the more geographically peripheral" operations.
In Asia Pacific, Keller said it is on track in winning new targeted contracts in Australia, which will ramp up during the fourth quarter.
"Keller remains strategically well positioned with ongoing favourable market fundamentals expected to support profitable growth in the medium term. The order book continues to be robust, and we remain focussed on positioning the business to take full advantage of the positive market trends of urbanisation and infrastructure growth," the company said in its statement Friday.
Keller shares were trading 4.9% lower on Friday at 629.88 pence each in London.
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