AVEVA reports steady progress in Q1

AVEVA Group, the global provider of engineering data and design IT systems, says it has seen no change in its demand environment during the first quarter.

The firm was keen to emphasise the performance of the Oil & Gas sector, which it said has remained particularly strong, driven by generally high levels of activity as well as the growing complexity and scale of projects worldwide.

In the Power division, the market continued to show steady growth but in Marine demand remained subdued, as expected.

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The Engineering & Design Systems division demand from the engineering contractors is helping to drive continued growth. The firm said that whilst the majority of rental contracts renew in the second half of the fiscal year, it has seen no change in customer preference for the rental model during the period.

AVEVA's recently announced new plant design platform is scheduled to ship at the end of this calendar year.

Meanwhile, the Enterprise Solutions business continues to progress in line with the firm's plans, helped in part by the strength of the order backlog at the start of the current fiscal year.

In a statement the firm said: "Regionally, we have seen continued strength in EMEA, whilst Latin America and North America continue to perform in line with plan. In Asia Pacific, the China business is fully operational and the other areas continue to perform well.

"In May 2012, we completed the acquisition of Bocad and the integration is progressing satisfactorily. The Group continues to be cash generative and has a strong balance sheet."

The share price fell 0.7% to 1,714p by 09:25.

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