Market Herald logo

Subscribe

Be the first with the news that moves the market
  • WorleyParsons has announced its aggregated revenue is up 36 per cent to $6.42 million
  • The company has dropped as much as 6.57 per cent today due to its markets being tempered by macroeconomic global uncertainty

WorleyParsons has announced its aggregated revenue is up 36 per cent to $6.42 million.

The company has dropped as much as 6.57 per cent today due to its markets being tempered by macroeconomic global uncertainty.

CEO Andrew Wood says the direction of the future energy mix is clear, however, the pace of change is not, nor is how each country will react.

“As fossil-based power generation globally continues to decline, we are also seeing increased activity in renewables particularly offshore wind, distributed energy solutions, new energy applications of hydrogen, and an increased focus on energy efficiency programs across existing facilities,” he said.

Worley believes it is well-positioned to support its customers in leading and navigating this change.

The company says its recent acquisition with Jacobs ECR will help with its global technical and financial strength to support its Energy, Chemicals and Resource customers as they navigate a changing world.

Jacobs ECR is focused on creating solutions that connect people and places with the means to work smarter and live better.

ERC aims to transform trends that challenge the status quo such as urbanisation, water scarcity, climate change, digital proliferation and security.

In the report said the company’s full year net profit before amortisation (NPATA) jumped 42.7 per cent to $259.8 million.

Andrew says Worley has been through the biggest change in its history.

“By bringing together WorleyParsons and ECR to create Worley, we have created an organisation of 58,100 people supporting the delivery of vital energy, chemicals and resources infrastructure to communities in 51 countries around the world,” he said.

The company said the $4.56 billion acquisition of ERC was finalised in April and the transitioning is progressing to the plan.

“The cost synergy target has increased from the pre-acquisition estimates of $130 million to $150 million. These are anticipated to be delivered within two years, with further benefits expected to be achieved from the application of global integrated delivery (“GID”), shared services and revenue synergies,” Andrew added.

Worley said the business is operating well and the customers are pleased with its capabilities.

In FY2020 it will deliver the benefits of the acquisition of ERC including the cost, margin and revenue synergies.

WOR by the numbers
More From The Market Herald
The Market Herald Video

" OZ Minerals (ASX:OZL) rejects BHP takeover offer

OZ Minerals (ASX:OZL) has rejected an $8.37 billion takeover offer from BHP, claiming the offer "significantly…
Sydney's Star Casino complex.

" Star Entertainment (ASX:SGR) CEO and MD resigns to “take responsibility”

Star Entertainment (ASX:SGR) CEO and Managing Director Matt Bekier has resigned from his roles effective immediately.
Telstra (ASX:TLS) - Outgoing CEO, Andrew Penn

" Telstra (ASX:TLS) maps next steps to finalise legal restructure

Telstra (ASX:TLS) has mapped out the remaining steps required to finalise its proposed legal restructure over…
Santos (ASX:STO) - Managing Director and CEO, Kevin Gallagher

" Santos (ASX:STO) to sell a 12.5pc interest in Barossa to JERA

Oil and gas giant Santos (ASX:STO) has signed a binding sale and purchase agreement (SPA) to…