2nd Jul 2018 07:00
| 2 July 2018 |
RPS Group plc
('RPS' or the 'Group')
Notice of Interim Results
Segmentation changes
Notice of Interim Results
RPS will announce its Interim Results for the six months ended 30 June 2018 on Thursday, 2 August 2018.
A meeting for analysts will be held at 9.30am on the morning of the results announcement at the offices of Buchanan, 107 Cheapside, London, EC2V 6DN.
Segmentation changes
Since the publication of the Group's results for the year ended 31 December 2017 on 1 March 2018, the Board has made the following organisational changes.
Creation of a global Energy business
As part of the Board's strategic priority to revitalise our Energy business, the Group's oil and gas businesses in Australia Asia Pacific ('AAP') and Norway, part of Built and Natural Environment - Europe, have been transferred to Energy.
In addition, the Group's Metocean businesses in AAP and Built & Natural Environment - North America ('BNE - North America'), that have significant oil and gas sector exposure, have also been transferred to Energy.
A new team is in place to lead and manage Energy, which now provides consulting and services to the oil and gas sector on a global basis.
The Board has also changed the name of BNE - North America to 'North America'. The Group's ocean science business, based in the USA, that provides services to various sectors including oil and gas, remains within the North America business.
Re-organisation of our businesses in Europe
RPS provides a range of consultancy and technical services in UK, Ireland, the Netherlands and Norway. To provide increased focus and manage the Group's businesses better the Board has made the following organisational changes.
1) Our business in Norway that provides project and program management and is managed by a dedicated team is now reporting directly to the Group's CEO.
2) Our business in the UK, Ireland and Netherlands is now being managed as two separate businesses:
a) a design and development, planning and environment, and project management consulting business in UK and Ireland, named 'Consulting - UK and Ireland'; and
b) a water, laboratory, health, safety and risk services business in UK and the Netherlands, named 'Services - UK and Netherlands'.
RPS will present its results for the six months ended 30 June 2018 reflecting the above and will comprise six segments as follows:
Energy
Consulting - UK and Ireland
Services - UK and Netherlands
Norway
North America
AAP
These segmental changes have been implemented across the Group to enhance organisational effectiveness and efficiency. The Board believes that these changes will provide additional transparency to investors.
The restatement of prior period results consistent with this new segmental structure is shown below in Appendix 1 and 2.
- Ends -
For further information:
RPS Group plc |
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John Douglas, Chief Executive | Tel: +44 (0) 1235 863206 |
Gary Young, Finance Director | www.rpsgroup.com |
Media enquiries:
Buchanan |
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Henry Harrison-Topham / Chris Lane / Maddie Seacombe | Tel: +44 (0) 20 7466 5000 |
www.buchanan.uk.com |
Notes to Editors
RPS is an international consultancy of 5,500 creative professionals and service providers. We define, design and manage projects in strategic infrastructure, and the evaluation and development of energy, water and other resources. Our main offices are in the UK, Ireland, the Netherlands, Norway, the USA, Canada and Australia Asia Pacific. We undertake projects in many other parts of the world.
Appendix 1
Segmental Results for December 2017 as restated |
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£000s | Fee income | Recharged expenses | Intersegment revenue | External Revenue |
Energy | 93,005 | 13,024 | (675) | 105,354 |
Consulting - UK and Ireland | 120,767 | 25,339 | (1,388) | 144,718 |
Services - UK and Netherlands | 95,699 | 16,497 | (708) | 111,488 |
Norway | 67,986 | 1,192 | (212) | 68,966 |
North America | 68,274 | 1,918 | (217) | 69,975 |
Australia Asia Pacific | 119,674 | 10,939 | (478) | 130,135 |
Group eliminations | (3,085) | (593) | 3,678 | - |
Total | 562,320 | 68,316 | - | 630,636 |
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£000s |
| Underlying profit | Reorganisation costs | Segment profit |
Energy |
| 8,511 | (544) | 7,967 |
Consulting - UK and Ireland |
| 16,615 | - | 16,615 |
Services - UK and Netherlands |
| 13,955 | - | 13,955 |
Norway |
| 6,378 | - | 6,378 |
North America |
| 7,507 | (206) | 7,301 |
Australia Asia Pacific |
| 15,257 | (461) | 14,796 |
Total |
| 68,223 | (1,211) | 67,012 |
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Segmental Results for December 2017 as originally presented | ||||
£000s | Fee income | Recharged expenses | Intersegment revenue | External Revenue |
BNE - Europe | 287,574 | 43,190 | (1,246) | 329,518 |
BNE - North America | 76,160 | 1,989 | (265) | 77,884 |
Energy | 65,407 | 11,100 | (470) | 76,037 |
AAP | 135,025 | 12,556 | (384) | 147,197 |
Group eliminations | (1,846) | (519) | 2,365 | - |
Total | 562,320 | 68,316 | - | 630,636 |
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£000s |
| Underlying profit | Reorganisation costs | Segment profit |
BNE - Europe |
| 37,048 | - | 37,048 |
BNE - North America |
| 8,542 | (208) | 8,334 |
Energy |
| 6,801 | (441) | 6,360 |
AAP |
| 15,832 | (562) | 15,270 |
Total |
| 68,223 | (1,211) | 67,012 |
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Detailed reclassification for December 2017 | ||||
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£000s | Fee income | Recharged expenses | Intersegment revenue | External Revenue |
BNE - Europe | (287,574) | (43,190) | 1,246 | (329,518) |
Consulting - UK and Ireland | 120,767 | 25,339 | (1,388) | 144,718 |
Services - UK and Netherlands | 95,699 | 16,497 | (708) | 111,488 |
Norway | 67,986 | 1,192 | (212) | 68,966 |
North America | (7,886) | (71) | 48 | (7,909) |
Energy | 27,598 | 1,924 | (205) | 29,317 |
Australia Asia Pacific | (15,351) | (1,617) | (94) | (17,062) |
Group eliminations | (1,239) | (74) | 1,313 | - |
Total | - | - | - | - |
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£000s |
| Underlying profit | Reorganisation costs | Segment profit |
BNE - Europe |
| (37,048) | - | (37,048) |
Consulting - UK and Ireland |
| 16,615 | - | 16,615 |
Services - UK and Netherlands |
| 13,955 | - | 13,955 |
Norway |
| 6,378 | - | 6,378 |
North America |
| (1,035) | 2 | (1,033) |
Energy |
| 1,710 | (103) | 1,607 |
Australia Asia Pacific |
| (575) | 101 | (474) |
Total |
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Appendix 2
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Segmental Results for June 2017 as restated |
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£000s | Fee income | Recharged expenses | Intersegment revenue | External Revenue |
Energy | 45,575 | 8,289 | (419) | 53,445 |
Consulting - UK and Ireland | 61,106 | 11,720 | (732) | 72,094 |
Services - UK and Netherlands | 48,314 | 7,668 | (372) | 55,610 |
Norway | 35,066 | 591 | (157) | 35,500 |
North America | 33,310 | 924 | (90) | 34,144 |
Australia Asia Pacific | 59,394 | 4,533 | (204) | 63,723 |
Group eliminations | (1,710) | (264) | 1,974 | - |
Total | 281,055 | 33,461 | - | 314,516 |
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£000s |
| Underlying profit | Reorganisation costs | Segment profit |
Energy |
| 3,561 | (331) | 3,230 |
Consulting - UK and Ireland |
| 9,128 | - | 9,128 |
Services - UK and Netherlands |
| 6,652 | - | 6,652 |
Norway |
| 3,621 | - | 3,621 |
North America |
| 4,197 | (108) | 4,089 |
Australia Asia Pacific |
| 8,069 | (255) | 7,814 |
Total |
| 35,228 | (694) | 34,534 |
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Segmental Results for June 2017 as originally presented | ||||
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£000s | Fee income | Recharged expenses | Intersegment revenue | External Revenue |
BNE - Europe | 147,014 | 20,006 | (536) | 166,484 |
BNE - North America | 35,221 | 2,232 | (123) | 37,330 |
Energy | 33,209 | 5,835 | (686) | 38,358 |
AAP | 66,970 | 5,593 | (219) | 72,344 |
Group eliminations | (1,359) | (205) | 1,564 | - |
Total | 281,055 | 33,461 | - | 314,516 |
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£000s |
| Underlying profit | Reorganisation costs | Segment profit |
BNE - Europe |
| 19,517 | - | 19,517 |
BNE - North America |
| 4,411 | (109) | 4,302 |
Energy |
| 2,998 | (236) | 2,762 |
AAP |
| 8,302 | (349) | 7,953 |
Total |
| 35,228 | (694) | 34,534 |
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Detailed reclassification for June 2017 |
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£000s | Fee income | Recharged expenses | Intersegment revenue | External Revenue |
BNE - Europe | (147,014) | (20,006) | 536 | (166,484) |
Consulting - UK and Ireland | 61,106 | 11,720 | (732) | 72,094 |
Services - UK and Netherlands | 48,314 | 7,668 | (372) | 55,610 |
Norway | 35,066 | 591 | (157) | 35,500 |
North America | (1,911) | (1,308) | 33 | (3,186) |
Energy | 12,366 | 2,454 | 267 | 15,087 |
Australia Asia Pacific | (7,576) | (1,060) | 15 | (8,621) |
Group eliminations | (351) | (59) | 410 | - |
Total | - | - | - | - |
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£000s |
| Underlying profit | Reorganisation costs | Segment profit |
BNE - Europe |
| (19,517) | - | (19,517) |
Consulting - UK and Ireland |
| 9,128 | - | 9,128 |
Services - UK and Netherlands |
| 6,652 | - | 6,652 |
Norway |
| 3,621 | - | 3,621 |
North America |
| (214) | 1 | (213) |
Energy |
| 563 | (95) | 468 |
Australia Asia Pacific |
| (233) | 94 | (139) |
Total |
| - | - | - |
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