Kentz still on track for double-digit earnings growth next year

Engineering and construction group Kentz expects to generate 'in-line' earnings this year and said it is confident of achieving double-digit profit growth in 2013.

Engineering and construction group Kentz expects to generate 'in-line' earnings this year and said it is confident of achieving double-digit profit growth in 2013.

The company, which works across 29 countries, said that its operations have performed well in the period between July 1st and November 11th, with growth underpinned through new project awards together with natural growth on existing contracts.

Kentz's backlog at the end of the third quarter (September 30th) was flat at $2.53bn (July: $2.54bn, October 2011: $2.38bn).

Chief Executive Christian Brown said: "We continue to perform well across our global operations and expect to deliver 2012 earnings in line with current market expectations. We are confident that our backlog and current prospects will continue to support double digit earnings growth in 2013."

The group said that operations in North and South America have produced solid results so far this year, with its Construction and Technical Support Services (TSS) divisions executing projects on the Kearl Oil Sands projects for Imperial Oil, the Aurora Mine Relocation (AMR) project for Syncrude, Barrick Mine in the Dominican Republic and on a number of other smaller projects.

Both units remain strong across Africa, Kentz added. Its Construction division recently won a further contract with FTSE 250 miner Kenmare Resources on the Moma Sands project in Mozambique.

During the period, the company also won a $50m shutdown services and operations support contract with Exxon Neftegas in Russia.

"Our balance sheet remains strong and continues to support the further development of the business," the firm said.

Recommended

A new legal headache for Haleon
Stocks and shares

A new legal headache for Haleon

Haleon, GSK’s former consumer-products arm, spun off last month, has made a dismal debut on the stockmarket.
17 Aug 2022
Persimmon yields 12.3%, but can you trust it to deliver?
Share tips

Persimmon yields 12.3%, but can you trust it to deliver?

With a dividend yield of 12.3%, Persimmon looks like a highly attractive prospect for income investors. But that sort of yield can also indicate compa…
17 Aug 2022
Cineworld faces a bleak future – investors should stay away
Share tips

Cineworld faces a bleak future – investors should stay away

Weighed down by crippling debts and with consumers tightening their belts, Cineworld's future does not look bright, says Rupert Hargreaves. Investors …
17 Aug 2022
Britain’s ten most-hated shares – w/e 12 August
Stocks and shares

Britain’s ten most-hated shares – w/e 12 August

Rupert Hargreaves looks at Britain's ten most-hated shares, and what short-sellers are looking at now.
16 Aug 2022

Most Popular

Don’t listen to the doom-mongers – the future is bright
Economy

Don’t listen to the doom-mongers – the future is bright

With volatile markets, raging inflation and industrial unrest, it may feel like things are bad and likely to get worse. But the end of the world is no…
15 Aug 2022
Investors should get ready for a political revolution
UK Economy

Investors should get ready for a political revolution

Liz Truss will beat Rishi Sunak, cut taxes, and then shake up the Bank of England, says Helen Thomas
15 Aug 2022
How solar panels could lower your energy bill
Energy

How solar panels could lower your energy bill

Solar-panel installation firms are reporting a four-fold increase in orders this year compared with 2021. Ruth Jackson-Kirby explains how solar can he…
14 Aug 2022