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For the year to 31st March 2017 Atkins reported revenue up 11% to £2,081.5m (2016: £1,861.9m) and pre-tax profit up 13% to £147.7m (2016: £131.1m).
The underlying operating profit was up nearly 16% to £171.5m (2016: £148.2m), a margin of 8.2%.
After financial year-end, on 20th April 2017 the boards of Atkins and SNC-Lavalin announced that they had reached agreement on the terms and conditions of a £2.1bn takeover, with SNC-Lavalin buying the entire issued and to be issued share capital of Atkins. [See our previous report here.]
The takeover deal is expected to complete on 3rd July 2017.
During the past year, Atkins’ UK and Europe business increased its operating profit by 22.5% to £90.4m (2016: £73.8m). Revenue was down 3.4% to £911.1m, mainly as a result of a reduction in rail signalling work, but the margin improved to 9.9% (2016: 7.8%), helped by overhead efficiency savings, the company said.
The sale of a minority PFI investment in the M25 motorway to Edge Orbital Holdings 2 for £66.3m bolstered the finances but, as one-off item, this is not included in the segmental operating profit referred to above.
WS Atkins business segments, year to 31st March 2017
|
Revenue |
Operating |
Operating |
|
|
2017 |
£m |
£m |
% |
|
UK and Europe |
911.1 |
90.4 |
9.9 |
|
North America |
480.5 |
33.5 |
7.0 |
|
Middle East and Africa |
232.2 |
21.8 |
9.4 |
|
Asia Pacific |
118.2 |
9.3 |
7.9 |
|
Energy |
327.0 |
30.3 |
9.3 |
|
Total for segments |
2,069.0 |
185.3 |
9.0 |
|
Group items: |
|||
|
Joint ventures |
- |
(8.2) |
|
|
Investment in Acuity |
12.5 |
(5.6) |
|
|
Unallocated central items |
- |
(17.4) |
|
|
Total for Group |
2,081.5 |
154.1 |
7.4 |
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