Strong trading in fourth quarter boosts engineer
Engineering giant Atkins鈥� performance for the financial year ending 31 March 2013 is expected to beat market expectations, the firm said in a trading update this morning.
The firm said performance would be 鈥渟lightly鈥� ahead of expectations following strong trading in its fourth quarter.
Atkins鈥� reported 鈥減ositive momentum鈥� in the UK and expects to report an improved margin and further growth in headcount.
The firm is targeting growth in the UK in electrification of the rail network, airport development and aerospace.
Atkins will complete the sale of its UK highways services business to Skanska by 31 May, transferring 1,200 jobs to the Sweden-based contractor.
Atkins will incur transaction fees and restructuring costs of around 拢4m, but said the costs will be 鈥渕ore than offset鈥� by a profit on the sale of around 拢15m.
North American market conditions were 鈥渟oft鈥� but the firm still expects to report a better margin in the second half of the year.
Continued protracted contract negotiations in the Middle East will hit the region鈥檚 profitability and cash flow.
Atkins said strong performance in Asia Pacific and Eruope continued in the second half of the year, while headcount continued to grow in its energy business.
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