RPS Group on track to deliver growth this year

Multinational energy and environmental consultancy company RPS Group said it expects first half results to be in line with the previous year.

Multinational energy and environmental consultancy company RPS Group said it expects first half results to be in line with the previous year.

While the group experienced a slowdown in resource investments in the Australia, Asia Pacific region, the energy business remains on track to deliver growth this year, according to an interim management statement.

Oil and gas exploration expenditure in Australia and Asia Pacific fell due to increasing costs pressures while the US and Europe, Africa and Middle East rose on strong performance.

In January, the company successfully integrated newly acquired Petroleum Institute for Continuing Education (PEICE), a Canadian based business providing geoscience and engineering training to the oil and gas industry.

RPS said PEACE should help offset weak results in Canada as its clients' potash projects move into a phase of the development cycle in which the group has less involvement.

Last month RPS announced the acquisition of Knowledge Reservoir in Houston for a maximum consideration of $20m, to strengthen its US business. Following reorganisation of non-US entities and integration of its US business it is expected to make a limited contribution this year and a full contribution in 2014.

The firm's Business New Europe (BNE) arm wielded robust results despite economic uncertainty which held back project investments in the first months of the year.

A strong position in the energy infrastructure market enabled the group to win projects. BNE results this year are expected to be in line with last year.

Net bank debt at the end of March was £9.1m, compared with £15.2m at the same time last year and £13.5m at the end of 2012.

RD

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020

Most Popular

Why we won’t see a house-price crash in 2021
House prices

Why we won’t see a house-price crash in 2021

Lockdown sent house prices berserk as cooped up home-workers fled for bigger properties in the country. And while they won’t rise quite as much this y…
18 Jan 2021
Prepare for the end of the epic bubble in US stocks
US stockmarkets

Prepare for the end of the epic bubble in US stocks

US stocks are as expensive as they’ve ever been. How can you prepare your portfolio for a bubble bursting?
18 Jan 2021
The best investment trusts to buy for 2021
Investment trusts

The best investment trusts to buy for 2021

Sectors ranging from emerging markets to student accommodation look poised to do well this year, says David Stevenson, as he picks the best investment…
19 Jan 2021