AMEC 2012 Revenue Up 28 Pct (UK)

AMEC Plc, a British multinational consultancy, engineering and project management company headquartered in London, today reported its for revenue for 2012 was £4.158 billion (USD 6.44 billion), up 28 per cent on 2011.

The company’s earnings before interest, taxes and amortization were £331 million, up 11 per cent

Chief Executive Samir Brikho said:

“AMEC continued to make good progress in 2012, with earnings per share⁴ up by 14 per cent and strong operating cash flow. Oil & gas revenue was up strongly, especially in the UK North Sea and in Gulf of Mexico, with good contract wins too in the Middle East.

Dividend up 20%

The board has recommended a final dividend of 24.8 pence per share, which, together with the interim dividend of 11.7 pence, results in a total dividend of 36.5 pence per share (2011: 30.5 pence), an increase of 20 per cent.

Brikho added: “We continue to expect good revenue growth in the conventional oil & gas market in 2013, offsetting softening in the oil sands and mining markets. We remain on track to achieve our targeted EPS of greater than 100 pence ahead of 2015. As a mark of our continued confidence in the outlook and reflecting our strong cash generation, the board is recommending a 20 per cent increase in the dividend for the year.”

Outlook

In 2013, AMEC said it expected low-to-mid single digit revenue growth for the group on an underlying basis, excluding procurement. A strong conventional oil & gas performance across the board and more modest growth in the clean energy and environment & infrastructure markets in the Americas are expected to offset reduced oil sands revenue and softening demand in the mining market, and in Australia more generally. The full-year impact of acquisitions made in 2012 will further boost revenue growth. Procurement activity in 2013 is expected to be £200 million lower than in 2012.

AMEC said its margins are expected to improve gradually at the headline level in 2013, taking into account the reduced procurement.

Video interviews with Samir Brikho, Chief Executive and Ian McHoul, CFO

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February 14, 2013