Petrofac on track to hit full-year profit targets

Oilfield services giant Petrofac has reiterated its target of achieving net profit growth of at least 15 per cent this year, saying that operations continue to perform in line with expectations.

Oilfield services giant Petrofac has reiterated its target of achieving net profit growth of at least 15 per cent this year, saying that operations continue to perform in line with expectations.

The group, which said in October that it had seen "high levels of bidding activity" going into the fourth quarter, said that it now expects the group backlog to be around $11.6bn by the end of 2012, up from $9.4bn at the end of the third quarter (September 30th), and $10.8bn at the end of 2011.

"Overall, we are well positioned to grow next year and beyond and we are confident of achieving our target of more than doubling our recurring 2010 group earnings by 2015," said Chief Executive Ayman Asfari.

In its Onshore Engineering & Construction unit, its biggest division which accounted for $4.15bn of the group's $5.8bn sales last year, the company said that it has made "good progress" across all operations.

Despite seeing some slippage in the timing of certain contract tender processes during the year and the delay in the award of some projects from 2012 to 2013, Petrofac remains optimistic with the division's year-end backlog expected to be $5.0bn (up from $4.6bn at the end of the second half).

Its next largest division, Offshore Projects & Operations (accounting for $1.25bn of group sales in 2011) continues to see high levels of bidding activity across all geographies; order intake has totalled $2.1bn in the year to date.

Recommended

The top funds to invest in
Funds

The top funds to invest in

As market volatility and recessionary fears continue, here are the most popular funds, stocks and trusts investors are putting their money into
2 Mar 2023
The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves takes a look at the companies with the highest dividend yields in the UK’s blue-chip index
27 Feb 2023
The outlook for Shell shares is mixed, despite bumper profits
Energy stocks

The outlook for Shell shares is mixed, despite bumper profits

With profits surging, it looks as if Shell is on a roll, but the company’s growth from here is hard to see as Rupert Hargreaves explains.
6 Feb 2023
The top ten dividend stocks in the FTSE 250
Share tips

The top ten dividend stocks in the FTSE 250

The average FTSE 250 dividend yield is around 4%, but many stocks yield much more. Rupert Hargreaves picks the best FTSE 250 stocks for income investo…
17 Jan 2023

Most Popular

Five changes to state pensions coming next month
Pensions

Five changes to state pensions coming next month

There are several changes happening to state pensions in April. We explain what’s happening.
22 Mar 2023
When will interest rates go up?
UK Economy

When will interest rates go up?

The Bank of England raised rates to 4.25%, its 11th consecutive increase. Does the base rate have further to go?
23 Mar 2023
Will energy prices go down in 2023?
Personal finance

Will energy prices go down in 2023?

Ofgem’s price cap is now predicted to fall below £2,000, based on average typical use, from July, for the first time since 2022. We have all the detai…
21 Mar 2023