Murray & Roberts Secures Strong Future In Power
27 February 2008
Murray & Roberts saw its forward order book grow by 70% over the past six months to a record R38 billion, of which R25 billion will be utilised in the period to June 2010. The primary area of opportunity for the company is the Southern Africa power sector, where it is a contender for the award of further long-term contracts.
The company has also submitted a firm proposal to Eskom for its conventional nuclear power generation program together with partners Westinghouse and Shaw and continues to support South Africa's next generation Pebble Bed Modular Reactor program.
Commenting on the company's results Group CE Brian Bruce said: "Murray & Roberts is the leading South African engineering and construction group with a global presence and reputation that has enabled access to significant market opportunity and the leadership, partners, resources and skills needed to meet this expected increase in demand."
"The primary challenge facing our industry worldwide is the availability of sufficient skilled leadership and human resource needed to deliver the major projects and investment programs currently underway and those planned for the years ahead," he said, adding that Murray & Roberts continues to prioritise the recruitment and development of new capacity into the Group and industry.
Revenue for the period increased 55% to R12,8 billion at an operating profit of R1,0 billion supported by an important contribution from Australian subsidiary Clough. Murray & Roberts has taken the initiative to engage Clough's Indian client in a serious attempt by both parties to seek early resolution to its troubled G1 contract.
Despite various global economic threats, the company is of the considered view that fixed capital formation will continue to expand in all the Group's markets including South Africa and announced that it expects fully diluted headline earnings for the full year to 30 June 2008 to grow between 50% and 60% compared with the comparable period to 30 June 2007.
For further information contact:
Murray & Roberts Client Service
Tel: +27 (0)11 456 1144
Fax: +27 (0)86 637 0113