AUSTRALIA

Petroleum sector is Worley's big earner

ENGINEERING giant WorleyParsons has reported a 61.6% increase in net profit after tax for the fir...

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NPAT reached $152.7 million for the period, up from $94.5 million in the first half of 2006-07.

Revenue rose 55.7% to $2.3 billion, while earnings before interest, taxes, depreciation and amortisation were up 86.1% to $263.1 million.

By division, the strongest performer was the hydrocarbons business, which reported a 71.4% increase in aggregate revenue to $1.8 billion.

This was buoyed by the award of several key contracts, worth $320 million, following the successful completion of front-end engineering and design (FEED) for Woodside's Pluto LNG development.

These included the engineering, procurement, construction and maintenance services contract for the onshore liquefied natural gas plant, the EPCM services contract for the offshore platform, and the detailed design of the Pluto supply base.

Worley also secured contracts in Singapore, Brazil, the United States, Malaysia and Canada.

According to Worley, the outlook for the hydrocarbons business remains positive, with strong demand being experienced in all sectors.

Commenting on the outlook for WorleyParsons, chief executive John Grill said demand for the company's services remained high.

"Our key markets and sectors continue to experience positive conditions and we are well positioned to respond to these opportunities," he said.

"Subject to conditions remaining favourable we expect to achieve increased earnings in the second half of 2008."

Company shares shed 75c this morning, dropping to $39.25.

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