9th Apr 2014 07:02
LONDON (Alliance News) - Engineering and consulting firm WS Atkins PLC Wednesday said it traded well through the fourth quarter with strong cash flow generation and expects to report results for the full year to end March to be in line with expectations.
Epsom-based WS Atkins said its UK business performed well during the year. Revenue is expected to be broadly flat, despite the impact of selling its UK highways services businesses during the period. February 2013 the firm agreed to sell the business to Skanska UK in a deal worth GBP18 million.
Nonetheless as expected UK regional operating margin should show an improvement in the second half as a result of the disposal.
In North America, WS Atkins said its highways and transportation business has traded well and is making progress with the reorganisation of its infrastructure and environment business.
"The initial financial benefits from the roll-out of our operational excellence programme across the region are expected to show through in the next financial year," WS Atskins said of its North America arm.
The company also said its Middle East and Asia Pacific business is doing well. Recently the firm won a concept design contract, working alongside China Southwest Architectural Design and Research Institute, for the new Qingdao airport in the Shandong province of China.
In addition WS Atkins said has moved a step closer to enhancing the energy side of its business after receiving regulatory approval to acquire Nuclear Safety Associates Inc - a process it hopes to conclude in the next quarter.
"A number of significant project opportunities exist across our energy business, which gives us confidence for future progress," it added.
Financially, the firm said increased its guidance for net funds at March 31 to around GBP180 million.
WS Atkins shares are up 1.2% at 1,422.00 pence at the open Wednesday.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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