Wood Group sees FY ahead of expectations as H1 profit rises

(Sharecast News) - Engineering and consultancy company Wood Group on Tuesday posted better-than-expected adjusted interim earnings, driven by a strong order book, and said annual profit would be ahead of forecasts. Revenue rose 16% to $3bn for the six months to June 30 with adjusted core earnings up 8.5% to $202m.

Looking forward, Wood said adjusted core earnings margin was expected to be flat in the nearer term at around 7%, partly reflecting investments being made in the business and the level of low margin pass-through revenue activity

"As such, adjusted EBITDA for full-year 2023 is expected to be ahead of our previous expectations and within our medium-term target of mid to high single digit growth," the company said.

It added that chief financial officer David Kemp had decided to retire, but would remain in his role until a successful candidate is in place.

Reporting by Frank Prenesti for Sharecast.com