Wood Group Reports Earnings, Sees Profits and Revenue Fall

  • Wood Group Share Price Fell 3.47%.
  • Revenue declined 0.4% to $2.56 billion.
  • The company expects revenue for the full year to be between $5.2 billion and $5.5 billion.

Wood Group reported earnings for the first six months of 2022 on Tuesday, which saw revenue fall.

Following the report, Wood Group shares fell 3.47%.

The company posted operating profit before exceptional items declined 8.9% to $41 million. Meanwhile, revenue fell 0.4% to $2.56 billion from $2.57 billion in the previous year.

The group saw growth in both the consulting division and operations segment due to increased demand for its energy solutions and improved market for oil and gas. Not quite enough to convince shareholders…

“Since becoming CEO in July, I have been really encouraged to see the improving operational momentum across our business, including some great client wins,” stated CEO Ken Gilmartin.

Gilmartin also believed the company’s strong order book gives him “confidence for the future but there is a lot more to do on cash generation and this is our top priority.”

Looking ahead, Wood Group expects to see an improved performance in the second half, with higher revenues across its business. Revenue for FY22 is forecasted to be between $5.2 billion and $5.5 billion.

Furthermore, Adjusted EBITDA is expected to be between $370 million and $400 million.

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