Half year results for the six months to 30th June 2013

Half year results for the six months ended 30 June 2013 Good growth in first half; anticipate full year performance in line withexpectations John Wood Group PLC ("Wood Group" or the "Group") is an international energyservices company employing around 43,000 people worldwide and operating in over50 countries. The Group has three businesses - Wood Group Engineering, WoodGroup PSN and Wood Group GTS - providing a range of engineering, productionsupport, maintenance management and industrial gas turbine overhaul and repairservices to the oil & gas, and power generation industries worldwide. Financial Summary Good growth in EBITA in the first half and confident of achieving full yearperformance in line with expectations Revenue from continuing operations of $3,447.1m (2012: $3,346.3m) up 3.0% EBITA from continuing operations1 of $243.2m (2012: $205.1m) up 18.6% Profit from continuing operations before tax and exceptional items of $186.6m(2012: $160.0m) up 16.6% Adjusted diluted EPS1of 44.5 cents (2012: 37.4 cents) up 19.0% Interim dividend of 7.1 cents (2012: 5.7 cents) up 24.6% Divisional Highlights Wood Group Engineering Strong first half performance; anticipate EBITA growth of c. 10-15% for thefull year Mafumeira Sul and Ichthys projects progressing well; completion expected by theyear end Onshore pipelines benefitting from US shale market; strong activity acrossprincipal subsea hubs Wood Group PSN Strong growth in the Americas with significant contribution from US shaleactivities Multiple North Sea contract renewals reinforce our market leading position International awards include substantial new scope in Papua New Guinea Wood Group GTS Improved margins in Maintenance offsetting impact of expected fall in PowerSolutions activity Maintenance - benefiting from oil & gas activity, and cost reductioninitiatives Power Solutions - confident of agreeing change orders on Dorad contract; goodperformance on NRG and Pasadena Bob Keiller, CEO commented: "We have achieved good growth in the first half and remain confident ofachieving full year performance in line with expectations. In March, I talkedabout our focus on increasing collaboration across Wood Group; this isprogressing well and we have already seen new business opportunities driven bypeople working more closely together. Activity levels generally remain healthyand we believe the Group is well positioned for future growth." Enquiries: Wood Group Nick Gilman - Group Head of Investor Relations and Corporate Communications Andrew Rose - Investor Relations Manager Carolyn Smith - Director of Corporate Communications, Eastern Hemisphere 01224851 000 Brunswick Patrick Handley 020 7404 5959 Rosheeka Field There will be an analyst and investor presentation at the Lincoln Centre, 18Lincoln's Inn Fields, WC2A 3ED at 09.00. Early registration is advised from08.30. A live webcast of the presentation will be available from www.woodgroup.com/investors. Replay facilities will be available later in the day. 1 See detailed footnotes. Overview H1 2013 Trading performance Interim Interim Jun 2013 Jun 2012 % $m $m Change Revenue from continuing operations 3,447.1 3,346.3 3.0% EBITA from continuing operations1 243.2 205.1 18.6% EBITA margin from continuing operations % 7.1% 6.1% 1.0pt Profit from continuing operations before 186.6 160.0 16.6%tax and exceptional items Basic EPS 43.5c 33.9c 28.3% Adjusted diluted EPS2 44.5c 37.4c 19.0% The Group has delivered good growth in the first half and we remain confidentof achieving full year performance in line with expectations. Revenue fromcontinuing operations increased by 3% and EBITA from continuing operations wasup 19%. EBITA margin increased by 100bps from 6.1% to 7.1%. Adjusted dilutedEPS increased by 19% to 44.5 cents. Reflecting our confidence in the longerterm outlook for the Group, we have declared an interim dividend of 7.1 cents,an increase of 25%, which will be paid on 26 September 2013. In Wood Group Engineering, revenue and EBITA increased by 13% and 15%respectively, and the division should deliver EBITA growth of c. 10-15% for thefull year. In Wood Group PSN, revenue growth of 8% and EBITA growth of 23%includes a significant contribution from our US onshore activities in the shaleregions. In Wood Group GTS, revenue decreased by 21% reflecting the anticipatedreduction in Power Solutions, and EBITA increased by 7%, due to improvedmargins in Maintenance. During the period, we made good progress on increasing collaboration across thedivisions. In July, Wood Group Mustang and Wood Group PSN jointly secured atopsides detailed engineering and procurement scope for an offshore developmentin Canada, and we are working more closely together in the US, Australia andelsewhere. Developing our combined Group strategy and tactics will continue throughout2013 and we will provide an update on this as matters progress. Acquisition ledgrowth will remain part of our strategy. In May, we acquired Intetech Limited,a niche provider of software and engineering consultancy services for wellintegrity and corrosion management, and in July we acquired Pyeroy, to expandthe range of services we provide into specialist coatings and fabricmaintenance which are critical to extend the life of clients' infrastructure. Overall, the Group has achieved good growth in EBITA in the first half and weremain confident of achieving full year performance in line with expectations.Activity levels generally remain healthy and we believe the Group is wellpositioned for future growth. Wood Group Engineering We provide a wide range of market-leading engineering services to the upstream,subsea & pipelines, downstream & industrial and clean energy sectors. Theseinclude conceptual and FEED studies, engineering, project & constructionmanagement (EPCM) and control system upgrades. Interim Interim Jun 2013 Jun 2012 % $m $m Change Revenue 982.6 872.2 12.7% EBITA 119.8 104.1 15.1% EBITA margin 12.2% 11.9% 0.3pts People3 10,500 10,100 4% In Wood Group Engineering, revenue increased by 13%, reflecting growth acrossupstream, subsea & pipelines and downstream, process & industrial. EBITAincreased by 15%. Headcount increased 3% from December 2012. Additions, notably in Saudi Arabiaand London, were partially offset by continuing reductions in Canada. Subsea and Pipelines represents around 45% of divisional revenue. We continueto benefit from US shale related pipeline work in our onshore activities andhave recently won projects with Dow Chemical and Williams. Strength in subsearelated spending is continuing and we are seeing good activity across ourprincipal subsea hubs in the UK, US and Asia Pacific. In May, we acquiredIntetech Limited, a niche provider of software and engineering consultancyservices for well integrity and corrosion management. Our Upstream business represents around 40% of divisional revenue. TheMafumeira Sul and Ichthys projects will make a significant contribution toEngineering EBITA for the year and are expected to complete by the year end. Wewere awarded a number of new contracts in the Gulf of Mexico during the period,including the FEED for Hess Stampede and the detailed engineering on AnadarkoHeidelberg, although we did see project delays. In the Norwegian market, we areworking on Ivar Assen for SMOE. In Canada, we secured the topsides detailedengineering for an offshore development. Our business in Western Canada, whichrepresents just over 5% of divisional revenue, has weakened further and we donot expect it to recover during 2014. Downstream, process & industrial activities accounted for over 15% of revenue.We have seen some improvement in performance, although the market looks set toremain competitive. Outlook Wood Group Engineering continues to perform well and should deliver EBITAgrowth of c. 10-15% for the full year, following annual EBITA growth of over30% in 2011 and 2012. This compares to our previous estimate of around 15% andreflects some project delays and, most recently, further weakening in Canada.These factors, and the expected completion of the Mafumeira Sul and Ichthysprojects by the year end, are challenges to growth in 2014. Looking furtherahead, global exploration activity continues at a healthy level, which webelieve should provide good opportunities. Wood Group PSN We provide life of field support to producing assets through brownfieldengineering & modifications, production enhancement, operations andmaintenance, training, maintenance management and abandonment services. Interim Interim Jun 2013 Jun 2012 % $m $m Change Revenue 1,913.7 1,774.1 7.9% EBITA 111.1 90.0 23.4% EBITA margin 5.8% 5.1% 0.7pts People 28,600 28,000 2% In Wood Group PSN, revenue and EBITA growth of 8% and 23% respectively,includes a significant contribution from our US onshore activities. On a proforma basis, restating the 2012 results to include Mitchells and Duval as ifthey had been acquired on 1 January 2012 and to apply the average exchangerates used to translate the 2013 results, revenue and EBITA grew by 3% and 4%. The Americas represents around 35% of revenues, and is expected to be thelargest region by EBITA for Wood Group PSN in 2013. Our US onshore business isshowing strong growth, led by performance in the shale regions where we areseeing a good contribution from the Duval and Mitchells acquisitions made in2012. Offshore US, we secured operations & maintenance work for Hess in theGulf of Mexico, an important award in the emerging deepwater production supportmarket. The North Sea represents around 40% of revenue, and continues to see robustactivity levels. We secured a number of contract renewals in the period withcustomers including CNR, Conoco Phillips, Nexen, Teekay and Total whichreinforce our position as the leading operations management provider in theregion. We also renewed our duty holder contract with Ithaca Energy for theBeatrice platforms and Nigg terminal, our first "life of asset" contractcovering operations through to decommissioning. In July, we acquired Pyeroy,marking a strategic move into specialist coatings and fabric maintenanceservices which are particularly relevant for extending asset lives. Internationally, we were recently awarded the brownfield engineering andprocurement support work for ExxonMobil's operations in Papua New Guinea,expected to create around 500 jobs. We also secured commissioning work withShell for the Manjoon field in Southern Iraq. In Oman, as anticipated, we haveseen underlying losses reduce, and are working to deliver operationalefficiency and cost reductions initiatives required to achieve profit. Outlook Wood Group PSN is expected to generate good growth in 2013, benefitting fromstrong performance in the US led by our activities in the shale regions,together with recovery in Oman. Looking ahead, we have an established leadingposition in the North Sea market, and see further opportunities in the US,including in the shale regions, and internationally. Wood Group GTS We are a leading independent provider of rotating equipment services andsolutions for clients in the power and oil & gas markets. These servicesinclude facility operations & maintenance, repair & overhaul of gas turbinesand other rotating equipment, power plant engineering, procurement &construction and construction management services to owners of power generationfacilities. Interim Interim Jun 2013 Jun 2012 % $m $m Change Revenue 550.8 700.0 (21.3)% EBITA 40.6 38.1 6.6% EBITA margin 7.4% 5.4% 2.0pts People 3,600 3,700 (3)% Revenue decreased by 21%, reflecting the anticipated reduction in PowerSolutions. EBITA increased by 7%, due to improved margins in Maintenance. Maintenance revenue was broadly in line with the first half of 2012 andbenefited from strength in oil and gas related work. Engine overhaul deferralsfrom the first quarter began to come through towards the end of the half, whichcontributed to our aero derivative joint ventures performing in line with H12012 overall. Elsewhere in Maintenance we saw improved performance due to costreduction initiatives, particularly in our power plant services business. In Power Solutions, revenues were down to around $150m as expected whichreflects the completion of GWF and the later stage of Dorad. The NRG andPasadena contracts have progressed well and made a good contribution to EBITA,although this was offset by the recognition of increased costs on Dorad. TheDorad contract is scheduled for completion around the year end, and we remainconfident that we will soon finalise change orders which should benefit thefull year position. We also reached final agreement on the outstanding changeorders on GWF, which resulted in a strong EBITA contribution from the projectoverall. Outlook In Wood Group GTS we anticipate that 2013 EBITA will be slightly ahead of 2012,with the expected lower contribution from Power Solutions being offset by thesuccessful delivery of planned performance improvements in Maintenance. Wecontinue to pursue a number of smaller opportunities in Power Solutions, someof which have reached conditional agreement and should contribute to 2014. Financial Review Trading performance Interim Interim Full Year Jun 2013 Jun 2012 Dec 2012 $m $m $m Revenue from continuing operations 3,447.1 3,346.3 6,821.3 EBITA from continuing operations 243.2 205.1 461.1 EBITA margin from continuing operations 7.1% 6.1% 6.8% Amortisation (48.8) (39.0) (85.5) Operating profit from continuing 194.4 166.1 375.6operations before exceptional items Net finance expense (7.8) (6.1) (12.9) Profit from continuing operations before 186.6 160.0 362.7tax and exceptional items Taxation on continuing operations before (51.3) (46.4) (103.9)exceptional items Profit for the period from continuing 135.3 113.6 258.8operations before exceptional items (Loss)/profit from discontinued - (1.1) (1.2)operations, net of tax Profit for the period before exceptional 135.3 112.5 257.6items Exceptional items, net of tax 26.6 10.2 0.6 Profit for the period 161.9 122.7 258.2 Basic EPS (cents) 43.5c 33.9c 71.4c Adjusted diluted EPS (cents) 44.5c 37.4c 85.2c The review of our trading performance is contained within the Divisionalcommentary above. Financial performance The financial performance of the Group on a pro forma constant currency basisis shown below. The 2012 results have been restated to include the results ofacquisitions made in 2012 as if they had been acquired on 1 January 2012 andalso to apply the average exchange rates used to translate the 2013 results. Unaudited Interim Interim Interim Interim Jun 2013 Jun 2013 Jun 2012 Jun 2012 Revenue EBITA Revenue EBITA $m $m $m $m Wood Group Engineering 982.6 119.8 875.9 104.6 Wood Group PSN 1,913.7 111.1 1,864.5 106.5 Wood Group GTS 550.8 40.6 702.9 38.6 Central costs (28.3) (27.3) Pro forma 3,447.1 243.2 3,443.3 222.4 Acquisitions (68.4) (15.3) Constant currency (28.6) (2.0) Continuing operations as 3,447.1 243.2 3,346.3 205.1reported Amortisation The amortisation charge for the half year of $48.8m (2012: $39.0m) includes$28.3m (2012: $27.4m) of amortisation relating to intangible assets arisingfrom acquisitions, of which $19.6m (2012: $23.1m) is in relation to the PSNacquisition. We currently anticipate that the amortisation charge for the fullyear will be around $95m. Net finance expense Net finance expense from continuing operations is analysed further below. Interim Interim Full year Jun 2013 Jun 2012 Dec 2012 $m $m $m Interest on debt 4.2 4.8 9.8 Non utilisation fees 0.9 0.8 1.4 Non-cash charges on pension and 2.6 0.7 1.8deferred consideration Bank fees and charges 0.7 0.7 1.4 Total finance expense from 8.4 7.0 14.4continuing operations Finance income (0.6) (0.9) (1.5) Net finance expense from continuing 7.8 6.1 12.9operations Interest cover4, based on EBITA from continuing operations, was 31.2 times(June 2012: 33.6 times). Exceptional items Interim Interim Full year Jun 2013 Jun 2012 Dec 2012 $m $m $m Lease termination income (15.3) - - Integration and restructuring - - 14.6charges Impairment of goodwill - - 1.9 Bad debt (recoveries)/write offs (2.0) 9.3 10.0 Gain on divestment (14.0) (21.2) (27.2) Total exceptional items pre-tax (31.3) (11.9) (0.7) Tax on exceptional items 4.7 1.7 0.1 Total exceptional items net of tax (26.6) (10.2) (0.6) An exceptional credit of $15.3m has been recorded in the period in respect of aone-off compensation payment received by the Group for vacating sub-let officespace. A credit of $2.0m has been recorded in respect of cash recovered against baddebt write offs treated as exceptional charges in previous periods. In the first half the provision for warranty claims in relation to the sale ofa business in prior years was reduced by $14.0m, following a reassessment ofthe likelihood of claims being made in respect of certain matters. Taxation The effective tax rate on continuing operations before exceptional items was27.5% (June 2012: 29.0%). Interim Interim Full year Jun 2013 Jun 2012 Dec 2012 $m $m $m Profit from continuing operations 186.6 160.0 362.7before tax (pre-exceptional items) Tax charge (pre-exceptional items) 51.3 46.4 103.9 Effective tax rate on continuing 27.5% 29.0% 28.6%operations (pre-exceptional items) Earnings per share Adjusted diluted EPS for the six months to 30 June 2013 increased by 19% to44.5 cents per share, due to growth in EBITA from continuing operations. Theaverage number of fully diluted shares used in the EPS calculation for theperiod was 374.7m (June 2012: 371.4m) and the closing balance was 374.9m. Reconciliation of number of fully diluted shares (All figures are in million shares) Weighted average 2013 Ordinary shares 373.2 Shares held by employee share trusts (9.6) Basic shares for EPS purposes 363.6 Effect of dilutive shares 11.1 Fully diluted shares for EPS purposes 374.7 Dividend An interim dividend of 7.1 cents per share (2012: 5.7 cents) has been declaredwhich will be paid on 26 September 2013. Summary Balance Sheet Interim Interim Full year Jun 2013 Jun 2012 Dec 2012 $m $m $m Non-current assets 2,064.4 1,880.7 2,131.8 Current assets 2,194.9 2,101.5 2,029.3 Current liabilities (1,381.2) (1,412.5) (1,303.4) Net current assets 813.7 689.0 725.9 Non-current liabilities (609.0) (494.6) (622.4) Net assets 2,269.1 2,075.1 2,235.3 Equity attributable to owners of 2,260.5 2,066.6 2,227.1the parent Non-controlling interests 8.6 8.5 8.2 Total equity 2,269.1 2,075.1 2,235.3 The increase in net current assets since December 2012 is due primarily to theincrease in working capital in the period. Capital efficiency The continuing Group's Return on Capital Employed ("ROCE")5 increased from17.8% at 30 June 2012 to 18.1% as a result of the increased profit in theperiod. Cash flow and net debt Interim Interim Full year Jun 2013 Jun 2012 Dec 2012 $m $m $m Opening net debt (154.5) (3.9) (3.9) Cash generated from operations pre 281.5 226.7 520.1working capital Working capital movements (148.3) (172.9) (192.9) Cash generated from operations 133.2 53.8 327.2 Acquisitions, capex and (81.5) (71.4) (315.9)intangibles Disposals - 38.4 40.6 Tax paid (55.8) (84.9) (134.7) Interest, dividends and other (59.1) (39.4) (67.8) Increase in net debt (63.2) (103.5) (150.6) Closing net debt (217.7) (107.4) (154.5) Throughout the period the Group has maintained a level of debt as set outbelow. Interim Interim Full Year Jun 2013 Jun 2012 Dec 2012 $m $m $m Average net debt 221.6 127.7 140.7 Average gross debt 391.8 323.9 356.5 Closing net debt 217.7 107.4 154.5 Closing gross debt 372.7 287.5 326.8 Cash generated from operations pre-working capital increased by $54.8m to$281.5m and post-working capital increased by $79.4m to $133.2m. The workingcapital outflow of $148.3m in the first half of 2013 was primarily due toincreased receivables in the Engineering division and higher GTS inventory. $16.6m was paid in relation to acquisitions made in the period (2012: $26.0m).$4.6m relates to the acquisition of Intetech Limited, a technical andengineering consultancy based in north-west England and $12.0m relates topayments made in respect of companies acquired in prior periods. In early July, the Group acquired Pyeroy, a company based in the north-east ofEngland which provides specialist coatings, access and fabric maintenanceservices to the oil & gas and other industries. Payments for capex and intangible assets increased to $64.9m (2012: $45.4m). Tax payments in the period totalled $55.8m (2012: $84.9m) and interest,dividends and other amounted to $59.1m (2012: $39.4m). The reduction in taxpaid from 2012 relates to payments made in the prior year in respect of thegains made on the disposal of the Well Support business in 2011. Principal risks and uncertainties The principal risks and uncertainties facing the Group in the second half of2013 that could lead to a significant loss of reputation or could impact on theperformance of the Group, along with our approach to managing and mitigatingthese risks, remain broadly unchanged from those described in the Group's 2012Annual Report. The key risks are in the following areas: Safety excellence and process assurance Delivering expected operational performance An internal or external event leading to a breakdown in our financial controls An environmental incident Inappropriate pricing, contract terms, or failure to comply with contract terms A substantial ethical breach or non-compliance with laws The availability of appropriately skilled personnel A cyclical downturn or prolonged recession The mitigating factors set out in the 2012 Annual Report are designed toreduce, but cannot be relied upon to eliminate, the risk areas identified. Forfurther details on the management of risk and the principal risks anduncertainties see pages 18, 19 and 31 of the Group's 2012 Annual Report. *********************** Footnotes 1 EBITA from continuing operations represents operating profit from continuingoperations pre-exceptional items of $194.4m (2012: $166.1m) before thededuction of amortisation of $48.8m (2012: $39.0m) and is provided as it is akey unit of measurement used by the Group in the management of its business. 2 Adjusted diluted earnings per share ("AEPS") is calculated by dividingearnings before exceptional items and amortisation, net of tax, by the weightedaverage number of ordinary shares in issue during the period, excluding sharesheld by the Group's employee share ownership trusts and adjusted to assumeconversion of all potentially dilutive ordinary shares. 3 Number of people includes both employees and contractors at 30 June 2013. 4 Interest cover is EBITA from continuing operations divided by the net financecharge from continuing operations. 5 Return of Capital Employed ("ROCE") is EBITA divided by average capitalemployed. John Wood Group PLCInterim Financial Statements 2013 John Wood Group PLCGroup income statementfor the six month period to 30 June 2013 Unaudited Interim June 2013 Unaudited Interim June 2012 Audited Full Year December 2012 Pre- Exceptional Pre- Exceptional Pre- Exceptional exceptional items Total exceptional items exceptional items items (note 3) items (note 3) Total items (note 3) Total Note $m $m $m $m $m $m $m $m $m Revenue fromcontinuingoperations 2 3,447.1 - 3,447.1 3,346.3 - 3,346.3 6,821.3 - 6,821.3 Cost of sales (2,896.1) - (2,896.1) (2,825.3) - (2,825.3) (5,702.6) - (5,702.6) Gross profit 551.0 - 551.0 521.0 - 521.0 1,118.7 - 1,118.7 Administrativeexpenses (356.6) 17.3 (339.3) (354.9) (9.3) (364.2) (743.1) (26.5) (769.6) Operatingprofit 2 194.4 17.3 211.7 166.1 (9.3) 156.8 375.6 (26.5) 349.1 Finance income 0.6 - 0.6 0.9 - 0.9 1.5 - 1.5 Finance expense (8.4) - (8.4) (7.0) - (7.0) (14.4) - (14.4) Profit beforetaxation fromcontinuingoperations 186.6 17.3 203.9 160.0 (9.3) 150.7 362.7 (26.5) 336.2 Taxation 7 (51.3) (4.7) (56.0) (46.4) 3.9 (42.5) (103.9) 4.1 (99.8) Profit for theperiod fromcontinuingoperations 135.3 12.6 147.9 113.6 (5.4) 108.2 258.8 (22.4) 236.4 Profit/(loss)fromdiscontinuedoperationsnet of tax - 14.0 14.0 (1.1) 15.6 14.5 (1.2) 23.0 21.8 Profit forthe period 135.3 26.6 161.9 112.5 10.2 122.7 257.6 0.6 258.2 Profitattributable to: Owners ofthe parent 131.5 26.6 158.1 111.3 10.2 121.5 256.4 0.6 257.0 Non-controllinginterests 3.8 - 3.8 1.2 - 1.2 1.2 - 1.2 135.3 26.6 161.9 112.5 10.2 122.7 257.6 0.6 258.2 Earningsper share(expressedin centsper share) Basic 6 36.2 7.3 43.5 31.0 2.9 33.9 71.2 0.2 71.4 Diluted 6 35.1 7.1 42.2 30.0 2.7 32.7 68.8 0.2 69.0 The income statements for June 2012 and December 2012 have been restated to reflect reclassifications of $47.9m and$83.0m respectively from administrative expenses to cost of sales. The notes on pages 6 to 10 are an integral part of the interim financial statements John Wood Group PLC Group statement of comprehensive incomefor the six month period to 30 June 2013 Unaudited Unaudited Audited Interim Interim Full Year June June December 2013 2012 2012 $m $m $m Profit for the period 161.9 122.7 258.2 Other comprehensive income Items that will not be reclassified to profit or loss Re-measurement of retirement benefit obligations - - (8.5) Movement in deferred tax relating to retirement benefit obligations - - 2.1 Total items that will not be reclassified to profit or loss - - (6.4) Items that may be reclassified subsequently to profit or loss Net exchange movements on retranslation of foreign currency net assets (95.2) 2.1 41.3 Net exchange movements on retranslation of non-controlling interests (0.6) - 0.1 Cash flow hedges 0.6 0.4 3.7 Total items that may be reclassified subsequently to profit or loss (95.2) 2.5 45.1 Other comprehensive (expense)/ income for the period, net of tax (95.2) 2.5 38.7 Total comprehensive income for the period 66.7 125.2 296.9 Total comprehensive income for the period is attributable to: Owners of the parent 63.5 124.0 295.6 Non-controlling interests 3.2 1.2 1.3 66.7 125.2 296.9 Exchange movements on the retranslation of foreign currency net assets would only be reclassifiedthrough profit or loss in the event of the disposal of a business. The notes on pages 6 to 10 are an integral part of the interim financial statements. John Wood Group PLC Group balance sheetas at 30 June 2013 Unaudited Unaudited Audited Interim Interim Full Year June June December 2013 2012 2012 Note $m $m $mAssets Non-current assets Goodwill and other intangible assets 1,756.7 1,606.0 1,839.1 Property plant and equipment 206.1 161.8 198.6 Long term receivables 62.0 48.5 54.7 Deferred tax assets 39.6 64.4 39.4 2,064.4 1,880.7 2,131.8 Current assetsInventories 469.3 435.9 439.5 Trade and other receivables 1,536.3 1,446.9 1,392.5 Income tax receivable 34.3 38.6 25.0 Cash and cash equivalents 11 155.0 180.1 172.3 2,194.9 2,101.5 2,029.3 Liabilities Current liabilitiesBorrowings 11 50.3 56.2 45.3 Trade and other payables 1,210.7 1,242.8 1,155.8 Income tax liabilities 120.2 113.5 102.3 1,381.2 1,412.5 1,303.4 Net current assets 813.7 689.0 725.9 Non-current liabilities Borrowings 11 322.4 231.3 281.5 Deferred tax liabilities 6.4 4.3 9.4 Retirement benefit obligations 8 52.3 47.3 55.0 Other non-current liabilities 141.6 121.5 163.7 Provisions 86.3 90.2 112.8 609.0 494.6 622.4 Net assets 2,269.1 2,075.1 2,235.3 Equity attributable to owners of the parent Share capital 23.5 23.4 23.5 Share premium 54.3 8.1 54.3 Retained earnings 1,768.7 1,569.0 1,640.7 Other reserves 414.0 466.1 508.6 2,260.5 2,066.6 2,227.1 Non-controlling interests 8.6 8.5 8.2 Total equity 2,269.1 2,075.1 2,235.3 The balance sheet at December 2012 has been restated to reflect a reclassificationof $32.2m from trade and other payables to provisions. The notes on pages 6 to 10 are an integral part of the interim financial statements. John Wood Group PLC Group statement of changes in equityfor the six month period to 30 June 2013 Equity attributable Non- Share Share Retained Other to owners of controlling Total capital premium earnings reserves the parent interests equity Note $m $m $m $m $m $m $m At 1 January 2012 23.4 7.7 1,469.8 463.6 1,964.5 10.0 1,974.5 Profit for the period - - 121.5 - 121.5 1.2 122.7 Other comprehensive income: Cash flow hedges - - - 0.4 0.4 - 0.4 Net exchange movementson retranslation of foreigncurrency net assets - - - 2.1 2.1 - 2.1 Total comprehensiveincome for the period - - 121.5 2.5 124.0 1.2 125.2 Transactions with owners:Dividends paid 4 - - (34.6) - (34.6) (0.8) (35.4) Credit relating to sharebased charges 12 - - 9.2 - 9.2 - 9.2 Shares disposed of byemployee share trusts - - 4.5 - 4.5 - 4.5 Exchange movements inrespect of shares held byemployee share trusts - - (1.0) - (1.0) - (1.0) Adjustment relating tooptions exercisedundershare symmetryscheme - 0.4 (0.4) - - - - Transactions withnon-controlling interests - - - - - (1.9) (1.9) At 30 June 2012 23.4 8.1 1,569.0 466.1 2,066.6 8.5 2,075.1 At 1 January 2013 23.5 54.3 1,640.7 508.6 2,227.1 8.2 2,235.3 Profit for the period - - 158.1 - 158.1 3.8 161.9 Other comprehensive income: Cash flow hedges - - - 0.6 0.6 - 0.6 Net exchange movementson retranslation of foreigncurrency net assets - - - (95.2) (95.2) (0.6) (95.8) Total comprehensive - - 158.1 (94.6) 63.5 3.2 66.7 income for the periodTransactions with owners: Dividends paid 4 - - (41.4) - (41.4) (2.8) (44.2) Credit relating to sharebased charges 12 - - 11.4 - 11.4 - 11.4 Shares purchased byemployee share trusts - - (12.7) - (12.7) - (12.7) Shares disposed of byemployee share trusts - - 5.7 - 5.7 - 5.7 Exchange movements inrespect of shares held byemployee share trusts - - 7.7 - 7.7 - 7.7 Transactions withnon-controlling interests - - (0.8) - (0.8) - (0.8) At 30 June 2013 23.5 54.3 1,768.7 414.0 2,260.5 8.6 2,269.1 The figures presented in the above tables are unaudited. Other reserves include the capital redemption reserve, capital reduction reserve, currencytranslation reserve and the hedging reserve. The notes on pages 6 to 10 are an integral part of the interim financial statements. John Wood Group PLC Group cash flow statementfor the six month period to 30 June 2013 Unaudited Unaudited Audited Interim Interim Full Year June June Dec 2013 2012 2012 Note $m $m $m Cash generated from operations 10 133.2 53.8 327.2 Tax paid (55.8) (84.9) (134.7) Net cash from/(used in) operating activities 77.4 (31.1) 192.5 Cash flows from investing activities Acquisition of subsidiaries (net of cash andborrowings acquired) 5 (16.6) (26.0) (188.7) Proceeds from divestment of subsidiaries(net of cash and borrowings divested anddivestment costs) - 38.4 40.6 Purchase of property plant and equipment (38.9) (30.7) (69.4) Proceeds from sale of property plant andequipment 1.0 - 0.4 Purchase of intangible assets (26.0) (14.7) (57.8) Net cash used in investing activities (80.5) (33.0) (274.9) Cash flows from financing activities Proceeds from bank loans 59.0 57.9 89.0 Return of cash to shareholders - (7.7) (7.7) Purchase of shares by employee share trusts (12.7) - - Disposal of shares by employee share trusts 5.7 4.5 6.5 Interest received 0.6 0.9 1.5 Interest paid (13.6) (5.4) (11.3) Dividends paid to shareholders 4 (41.4) (34.6) (55.2) Dividends paid to non-controlling interests (2.8) (0.8) (1.2) Net cash (used in)/from financing activities (5.2) 14.8 21.6 Net decrease in cash and cash equivalents (8.3) (49.3) (60.8) Effect of exchange rate changes on cash andcash equivalents (9.0) 2.8 6.5 Opening cash and cash equivalents 172.3 226.6 226.6 Closing cash and cash equivalents 155.0 180.1 172.3 The notes on pages 6 to 10 are an integral part of the interim financial statements. John Wood Group PLC Notes to the interim financial statementsfor the six month period to 30 June 2013 1. Basis of preparation The interim report and financial statements for the six months ended 30 June2013 have been prepared in accordance with the Disclosure and TransparencyRules of the Financial Conduct Authority and with IAS 34 `Interim financialreporting' as adopted by the European Union. The interim report and financialstatements should be read in conjunction with the Group's 2012 Annual Reportand Accounts which have been prepared in accordance with IFRSs as adopted bythe European Union. The interim report and financial statements have been prepared on the basis ofthe accounting policies set out in the Group's 2012 Annual Report and Accountsand those new standards discussed below which are applicable from 1 January2013. The interim report and financial statements do not comprise statutoryaccounts within the meaning of section 434 of the Companies Act 2006. Theinterim financial statements were approved by the Board of Directors on 19August 2013. The results for the six months to 30 June 2013 and thecomparative results for six months to 30 June 2012 are unaudited. Thecomparative figures for the year ended 31 December 2012 do not constitute thestatutory financial statements for that year. Those financial statements havebeen delivered to the Registrar of Companies and include the auditor's reportwhich was unqualified and did not contain any statement under Section 498 ofthe Companies Act 2006. In preparing these interim financial statements, the significant judgementsmade by management in applying the Group's accounting policies and the keysources of estimation uncertainty were the same as those applied to theconsolidated financial statements for the year ended 31 December 2012. After making enquiries, the directors have a reasonable expectation that theGroup has adequate resources to continue in operational existence for theforeseeable future. The Group therefore continues to adopt the going concern basis in preparingthe consolidated interim financial statements. Functional currency The Group's earnings stream is primarily US dollars and the principalfunctional currency is the US dollar, being the most representative currencyof the Group. The Group's financial statements are therefore prepared in USdollars. The following exchange rates have been used in the preparation of theseaccounts: June 2013 June 2012Average rate £1 = $ 1.5467 1.5752Closing rate £1 = $ 1.5167 1.5685 Disclosure of impact of new and future accounting standards (a) Amended standards and interpretations The following revisions and amendments to standards andinterpretations are mandatory as of 1 January 2013: - IAS 1 (amended 2012) `Financial statement presentation' - IAS 19 (revised 2011) `Employee benefits' - IAS 34 (amended 2012) `Interim financial reporting' - IFRS 13 (amended 2012) `Fair value measurement' The amendments to IAS 1 relate to other comprehensive income. The main changeresulting from these amendments is a requirement for entities to group itemspresented in `other comprehensive income' (OCI) on the basis of whether theywill be potentially reclassified to profit or loss in subsequent periods. Theamendments do not address which items are presented in OCI. The revision to IAS 19 does not have a material impact on thefinancial statements. The revision has been adopted in the current period andhas resulted in an increase in net finance expense in the income statement. Asthe impact of this revision is not material in both the current and priorperiod, no restatement of the comparative information has been made. IFRS 13 measurement and disclosure requirements are applicable for periodscommencing from January 2013, and IAS 34 has been amended to take account ofthis. The Group has included the disclosures required by IAS 34 para 16A(j).Please refer to note 13. (b) Standards, amendments and interpretations to existing standardsthat are not yet effective and have not been early adopted by the Group The following relevant standards and amendments and interpretationsto existing standards have been published and are mandatory for the Group'saccounting periods beginning on or after 1 January 2014 or later periods, butthe Group has not early adopted them: - IFRS 10 `Consolidated financial statements' - IFRS 11 `Joint arrangements' - IFRS 12 `Disclosure of interests in other entities' The Group currently accounts for its interests in joint ventures usingproportional consolidation. IFRS 11 does not permit proportional consolidationand therefore from 1 January 2014, for all periods presented, the Group willaccount for its interests in joint ventures using equity accounting. The useof equity accounting will have no impact on Group profit for the year orearnings per share, but will impact the presentation of the Group's interestsin joint ventures in the income statement and in the balance sheet. John Wood Group PLC Notes to the interim financial statements for the six month period to 30 June 2013 2. Segmental reporting The segment information provided to the Chief Operating Decision Maker for thereportable operating segments for the period included the following: Reportable operating segments Revenue EBITDA (1) EBITA (1) Operating profit Unaudited Unaudited Audited Unaudited Unaudited Audited Unaudited Unaudited Audited Unaudited Unaudited Audited Interim Interim Full Interim Interim Full Interim Interim Full Interim Interim Full June June Year June June Year June June Year June June Year 2013 2012 2012 2013 2012 2012 2013 2012 2012 2013 2012 2012 $m $m $m $m $m $m $m $m $m $m $m $m WoodGroupEngineering 982.6 872.2 1,787.3 126.7 109.0 231.2 119.8 104.1 220.0 121.8 87.4 187.8 WoodGroupPSN 1,913.7 1,774.1 3,690.7 119.4 96.0 219.9 111.1 90.0 205.0 83.2 63.8 146.1 WoodGroupGTS 550.8 700.0 1,343.3 48.4 45.1 102.4 40.6 38.1 88.6 36.1 33.5 69.5 Centralcosts (2) - - - (26.4) (25.6) (48.9) (28.3) (27.1) (52.5) (29.4) (27.9) (54.3) Totalcontinuingoperations 3,447.1 3,346.3 6,821.3 268.1 224.5 504.6 243.2 205.1 461.1 211.7 156.8 349.1 Financeincome 0.6 0.9 1.5 Financeexpense (8.4) (7.0) (14.4) Profitbeforetaxationfromcontinuingoperations 203.9 150.7 336.2 Taxation (56.0) (42.5) (99.8) Profit forthe periodfromcontinuingoperations 147.9 108.2 236.4 Profit fromdiscontinuedoperationsnet of tax 14.0 14.5 21.8 Profit forthe period 161.9 122.7 258.2 Notes 1. Total continuing EBITDA represents operating profit of $211.7m (2012:$156.8m) before the charge for continuing depreciation of property, plant andequipment of $24.9m (2012: $19.4m), amortisation of $48.8m (2012: $39.0m) andcontinuing exceptional credits of $17.3m (2012: charge of $9.3m). EBITArepresents EBITDA less depreciation. EBITA and EBITDA are provided as they areunits of measurement used by the Group in the management of its business. 2. Central costs include the costs of certain management personnel in both theUK and the US, along with an element of Group infrastructure costs. 3. Revenue arising from sales between segments is not material. John Wood Group PLC Notes to the interim financial statementsfor the six month period to 30 June 2013 2. Segmental reporting (continued) Segment assets Unaudited Unaudited Audited Interim Interim Full Year June 2013 June 2012 December 2012 $m $m $m Wood Group Engineering 944.9 829.9 807.2 Wood Group PSN 2,129.3 1,987.9 2,203.9 Wood Group GTS 1,073.0 996.3 1,034.2 Unallocated 112.1 168.1 115.8 4,259.3 3,982.2 4,161.1 Unallocated segment assets includes cash, income tax and deferred tax balances. 3. Exceptional items Unaudited Unaudited Audited Interim Interim Full Year June 2013 June 2012 December 2012 $m $m $m Exceptional items included in continuing operations Lease termination income (15.3) - - Integration and restructuring charges - - 14.6 Impairment of goodwill - - 1.9 Bad debt (recoveries)/write offs (2.0) 9.3 10.0 (17.3) 9.3 26.5 Taxation 4.7 (3.9) (4.1) Continuing operations exceptional items, net of tax (12.6) 5.4 22.4 Exceptional items included in discontinued operationsGain on divestment - Well Support (14.0) (21.2) (27.2) Taxation - 5.6 4.2 Discontinued operations exceptional items, net of tax (14.0) (15.6) (23.0) Total exceptional items, net of tax (26.6) (10.2) (0.6) An exceptional credit of $15.3m has been recorded in the period in respect of a one-offcompensation payment received by the Group for vacating sub-let office space. A credit of $2.0m has been recorded in respect of cash recovered against baddebt write offs treated as exceptional charges in previous periods. In the first half the provision for warranty claims in relation to the sale ofa business in prior years was reduced by $14.0m, following a reassessment ofthe likelihood of claims being made in respect of certain matters. For further details of the 2012 exceptional items please see the 2012 AnnualReport and Accounts. 4. Dividends Unaudited Unaudited Audited Interim Interim Full Year June 2013 June 2012 December 2012 $m $m $m Dividends on ordinary shares Final paid 41.4 34.6 34.6 Interim paid - - 20.6 Total dividends 41.4 34.6 55.2 After the balance sheet date, the directors declared an interim dividend of7.1 cents per share (2012: 5.7 cents) which will be paid on 26 September2013. The interim financial statements do not reflect the interim dividend,which will be recognised in equity attributable to owners of the parent as anappropriation of retained earnings in the financial statements for the yearended 31 December 2013. John Wood Group PLC Notes to the interim financial statementsfor the six month period to 30 June 2013 5. Acquisitions In May 2013, the Group acquired Intetech Limited, a technical and engineeringconsultancy based in Chester, England for an initial consideration of $4.6m(net of $2.4m cash acquired). Contingent consideration of $5.5m has beenprovided. Net assets acquired amounted to $5.1m with goodwill of $7.4m beingrecorded on the acquisition. Contingent consideration payments amounting to $12.0m were made during theperiod in relation to acquisitions completed in previous years. 6. Earnings per share Unaudited Interim Unaudited Interim Audited Full Year June 2013 June 2012 December 2012 Earnings Earnings Earnings attributable Number Earnings attributable Number Earnings attributable Earnings to equity of per to equity of per to equity Number of per shareholders shares share shareholders shares share shareholders shares share ($m) (millions) (cents) ($m) (millions) (cents) ($m) (millions) (cents) Basic pre-exceptional 131.5 363.6 36.2 111.3 358.7 31.0 256.4 360.0 71.2 Exceptional items,net of tax 26.6 - 7.3 10.2 - 2.9 0.6 - 0.2 Basic 158.1 363.6 43.5 121.5 358.7 33.9 257.0 360.0 71.4 Effect of dilutiveordinary shares - 11.1 (1.3) - 12.7 (1.2) - 12.6 (2.4) Diluted 158.1 374.7 42.2 121.5 371.4 32.7 257.0 372.6 69.0 Exceptional items,net of tax (26.6) - (7.1) (10.2) - (2.7) (0.6) - (0.2) Diluted pre-exceptional items 131.5 374.7 35.1 111.3 371.4 30.0 256.4 372.6 68.8 Amortisation, -net of tax 35.4 9.4 27.7 - 7.4 61.0 - 16.4 Adjusted diluted 166.9 374.7 44.5 139.0 371.4 37.4 317.4 372.6 85.2 Adjusted basic 166.9 363.6 45.9 139.0 358.7 38.8 317.4 360.0 88.2 Basic discontinued earnings per share for the period is 3.9 cents (2012: 4.0 cents) and diluted discontinuedearnings per share is 3.7 cents (2012: 3.9 cents). The calculation of basic earnings per share (`EPS') is based on the earningsattributable to equity shareholders divided by the weighted average number ofordinary shares in issue during the period, excluding shares held by theGroup's employee share trusts. For the calculation of diluted EPS, theweighted average number of ordinary shares in issue is adjusted to assumeconversion of all potentially dilutive ordinary shares. The Group has twotypes of dilutive ordinary shares - share options granted to employees underEmployee Share Option Schemes, the Long Term Retention Plan and the 2013 LongTerm Plan; and shares issuable under the Group's Long Term Incentive Plan.Adjusted basic and adjusted diluted EPS are disclosed to show the resultsexcluding the impact of exceptional items and amortisation, net of tax. 7. Taxation The taxation charge for the six months ended 30 June 2013 reflects ananticipated effective rate of 27.5% on continuing profit before taxation andexceptional items for the year ending 31 December 2013 (June 2012 : 29.0%). Legislation to reduce the main rate of UK corporation tax from 24% to 23% from1 April 2013 was included in the Finance Act 2012. Further reductions to themain rate were announced in the 2012 Autumn Statement and the March 2013Budget Statement to reduce the rate to 21% from 1 April 2014 and to 20% from 1April 2015. These further changes had not been substantively enacted at thebalance sheet date and, therefore, are not reflected in these financialstatements. 8. Retirement benefit obligationsNo interim revaluation of the pension liability has been carried out at 30June 2013 and accordingly there is no actuarial gain/loss in the Groupstatement of comprehensive income. The figures for gains and losses for thefull year together with the surplus/deficit at the year end will be presentedin the 2013 Annual Report and Accounts. 9. Related party transactions The following transactions were carried out with the Group's joint ventures inthe six months to 30 June. These transactions comprise sales and purchase ofgoods and services in the ordinary course of business. The receivables includeloans to certain joint venture companies. Unaudited Unaudited Audited Interim Interim Full Year June 2013 June 2012 December 2012 $m $m $m Sales of goods and services to joint ventures 13.4 15.5 35.5 Purchase of goods and services from joint ventures 4.0 9.5 33.3 Receivables from joint ventures 73.8 58.5 83.1 Payables to joint ventures 2.4 11.7 20.8 John Wood Group PLC Notes to the interim financial statementsfor the six month period to 30 June 2013 10. Cash generated from operations Unaudited Unaudited Audited Interim Interim Full Year June June December 2013 2012 2012 $m $m $m Reconciliation of operating profit to cashgenerated from operations: Operating profit from continuing operations 211.7 156.8 349.1 Operating loss from discontinued operations - (2.0) (2.0) Adjustments for: Depreciation 24.9 19.7 43.8 Loss on disposal of property plant and equipment 1.2 0.1 1.3 Amortisation of intangible assets 48.8 39.0 85.5 Share based charges 14.2 11.7 26.2 Decrease in provisions (11.0) (2.7) (8.1) Exceptional items - non-cash impact - 9.3 26.0 Changes in working capital (excluding effectof acquisition and divestment of subsidiaries) Increase in inventories (35.1) (31.2) (43.7) Increase in receivables (191.0) (133.4) (50.1) Increase/(decrease) in payables 77.8 (8.3) (99.1) Exchange movements (8.3) (5.2) (1.7) Cash generated from operations 133.2 53.8 327.2 11. Reconciliation of cash flow to movement in net debt At 1 January Exchange At 30 June 2013 Cash flow movements 2013 $m $m $m $m Cash and cash equivalents 172.3 (8.3) (9.0) 155.0 Short term borrowings (45.3) (10.3) 5.3 (50.3) Long term borrowings (281.5) (48.7) 7.8 (322.4) Net debt (154.5) (67.3) 4.1 (217.7) 12. Share based charges Share based charges for the period of $14.2m (2012: $11.7m) relate to optionsgranted under the Group's executive share option schemes and awards under theLong Term Incentive Plan, the Long Term Plan and the Long Term Cash IncentivePlan (`LTCIP'). The charge is included in administrative expenses in theincome statement. The liability of $2.8m in respect of the LTCIP is includedin non-current liabilities with the balance of the charge, $11.4m beingcredited to equity. 13. Fair value of non-derivative financial assets and financial liabilities The fair value of short-term borrowings, trade and other payables, trade andother receivables, short-term deposits and cash at bank and in handapproximates to the carrying amount because of the short maturity of interestrates in respect of these instruments. Drawdowns under long-term bankfacilities are for periods of three months or less and as a result, book valueand fair value are considered to be the same. Details of derivative financial instruments are not disclosed in the financialstatements as they are not material. 14. Capital commitments At 30 June 2013 the Group had entered into contracts for futurecapital expenditure amounting to $12.3m. The capital expenditure relates toproperty plant and equipment and has not been provided in the financialstatements. 15. Contingent liabilities From time to time, the Group is notified of claims in respect of work carriedout. Where management believes we are in a strong position to defend theseclaims no provision is made. In addition, the Group is currently cooperatingin an investigation into a facility where it previously provided services,however management do not believe that it is probable that any materialliability will arise from this matter. 16. Post balance sheet events On 2 July 2013, the Group acquired Pyeroy Group Limited, a company based inGateshead, England which provides specialist coatings, access and fabricmaintenance services to the oil and gas and other industries. The initialconsideration for Pyeroy was £44.8m ($67.9m). Statement of directors' responsibilities for the six month period to 30 June 2013 The directors confirm that the interim financial statements havebeen prepared in accordance with IAS 34 `Interim Financial Reporting' asadopted by the European Union and that the interim management report includesa fair review of the information required by DTR 4.2.7 and DTR 4.2.8, namely: — an indication of important events that have occurred during the first six months and their impact on the financial statements and a description of the principal risks and uncertainties for the remaining six months of the financial year; and — material related party transactions in the first six months and any material changes in the related party transactions described in the last annual report. The directors of John Wood Group PLC are listed in the Group's 2012 AnnualReport and Accounts. R KeillerChief Executive A G SempleChief Financial Officer 19 August 2013 Independent review reportto John Wood Group PLCfor the six month period to 30 June 2013 Introduction We have been engaged by the company to review the condensed set of financialstatements in the interim financial report for the six months ended 30 June2013, which comprises the Group income statement, Group statement ofcomprehensive income, Group balance sheet, Group statement of changes inequity, Group cash flow statement and the related notes. We have read theother information contained in the interim report and considered whether itcontains any apparent misstatements or material inconsistencies with theinformation in the condensed set of financial statements. Directors' responsibilities The interim financial report is the responsibility of, and has been approvedby, the directors. The directors are responsible for preparing the interimfinancial report in accordance with the Disclosure and Transparency Rules ofthe United Kingdom's Financial Conduct Authority. As disclosed in note 1, the annual financial statements of the Group areprepared in accordance with IFRSs as adopted by the European Union. Thecondensed set of financial statements included in this interim financialreport have been prepared in accordance with International Accounting Standard34, "Interim Financial Reporting", as adopted by the European Union. Our responsibility Our responsibility is to express to the company a conclusion on the condensedset of financial statements in the interim financial report based on ourreview. This report, including the conclusion, has been prepared for and onlyfor the company for the purpose of the Disclosure and Transparency Rules ofthe Financial Conduct Authority and for no other purpose. We do not, inproducing this report, accept or assume responsibility for any other purposeor to any other person to whom this report is shown or into whose hands it maycome save where expressly agreed by our prior consent in writing. Scope of review We conducted our review in accordance with International Standard on ReviewEngagements (UK and Ireland) 2410, `Review of Interim Financial InformationPerformed by the Independent Auditor of the Entity' issued by the AuditingPractices Board for use in the United Kingdom. A review of interim financialinformation consists of making enquiries, primarily of persons responsible forfinancial and accounting matters, and applying analytical and other reviewprocedures. A review is substantially less in scope than an audit conducted inaccordance with International Standards on Auditing (UK and Ireland) andconsequently does not enable us to obtain assurance that we would become awareof all significant matters that might be identified in an audit. Accordingly,we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us tobelieve that the condensed set of financial statements in the interimfinancial report for the six months ended 30 June 2013 is not prepared, in allmaterial respects, in accordance with International Accounting Standard 34 asadopted by the European Union and the Disclosure and Transparency Rules of theUnited Kingdom's Financial Conduct Authority. PricewaterhouseCoopers LLPChartered AccountantsAberdeen19 August 2013 Notes: a) The maintenance and integrity of the John Wood Group PLC website is the responsibility of the directors; the work carried out by the auditors does not involve consideration of these matters and, accordingly, the auditors accept no responsibility for any changes that may have occurred to the financial statements since they were initially presented on the website. b) Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. John Wood Group PLC Shareholder information Payment of dividends The Company declares its dividends in US dollars. As a result ofthe shareholders being mainly UK based, dividends will be paid in sterling,but if you would like to receive your dividend in dollars please contact theRegistrars at the address below. All shareholders will receive dividends insterling unless requested. If you are a UK based shareholder, the Companyencourages you to have your dividends paid through the BACS (Banker'sAutomated Clearing Services) system. The benefit of the BACS payment method isthat the Registrars post the tax vouchers directly to the shareholders, whilstthe dividend is credited on the payment date to the shareholder's Bank orBuilding Society account. Shareholders who have not yet arranged for theirdividends to be paid direct to their Bank or Building Society account and wishto benefit from this service should contact the Registrars at the addressbelow. Sterling dividends will be translated at the closing mid-point spotrate on 30 August 2013 as published in the Financial Times on 31 August 2013. Officers and advisers Secretary and Registered Office RegistrarsR M B Brown EquinitiJohn Wood Group PLC Aspect HouseJohn Wood House Spencer RoadGreenwell Road LancingAberdeen West SussexAB12 3AX BN99 6DA Tel: 01224 851000 Tel: 0871 384 2649 Stockbrokers Independent Auditor JPMorgan Cazenove Limited PricewaterhouseCoopers LLPCredit Suisse Chartered Accountants and Statutory Auditors 32 Albyn PlaceCompany solicitors AberdeenSlaughter and May AB10 1YL Financial calendar 6 months ended Year ending 30 June 31 December 2013 2013 Results announced 20 August 2013 Early March 2014 Ex-dividend date 28 August 2013 April 2014 Dividend record date 30 August 2013 April 2014 Dividend payment date 26 September2013 May 2014 Annual General Meeting May 2014

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