Property and infrastructure consultant Sweett (CSG) was helped by a £1m gain from the unwinding of an Australian dollar derivative contract during the first half, which lifted reported numbers. But the underlying performance was still solid, with pre-exceptional operating profit before tax having risen 8 per cent year-on-year to £2.7m.
The order book grew 10 per cent on the year to £101m, with Asia Pacific representing just over half of the book. "Asia Pacific is still the greatest area of growth for us," says chief executive Dean Webster and the company expects top-line growth of around 12 per cent in the region this year. Another key component of the strategy has been diversification into new markets such as energy and infrastructure to complement traditional strength in areas like hotels and retail. This move has proved well-timed as energy and infrastructure are seeing a pick-up in activity - Sweett has won work with Network Rail, on EDF's new nuclear power station at Hinkley Point, and in the water market.
Broker WH Ireland expects adjusted pre-tax profit of £4.3m for the full-year, giving adjusted EPS of 4.8p (from £2.3m and 2.5p in 2013), rising to 5.2p in 2015.
SWEETT (CSG) | ||||
|---|---|---|---|---|
| ORD PRICE: | 61p | MARKET VALUE: | £41.7m | |
| TOUCH: | 60p-62p | 12-MONTH HIGH: | 72p | LOW: 15p |
| DIVIDEND YIELD: | 2.0% | PE RATIO: | 17 | |
| NET ASSET VALUE: | 42p* | NET DEBT: | 25% | |
| Half-year to 30 Sep | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2012 | 37.7 | 1.60 | 1.8 | 0.3 |
| 2013 | 44.4 | 2.77 | 3.4 | 0.5 |
| % change | +18 | +73 | +89 | +67 |
Ex-div: 18 Dec Payment: 17 Jan *Includes intangible assets of £18m, or 26p a share | ||||
