Multidisciplinary infrastructure consultancy Opus International says its half year results reflect significant gains in the UK business and a strong performance in New Zealand, but challenging conditions in Australia and Canada.
Opus reported a robust result for the first six months of 2015.
In the half-year ended 30 June 2015, earnings before interest and tax (EBIT) increased by 40% to $20m, and net profit after tax (NPAT) increased by 60% to $15.9m.
“Overall, the New Zealand business performed strongly and the UK business made significant gains,” says Opus chairman Kerry McDonald. “However, the Canadian and
Australian businesses were affected by challenging market conditions, and this is reflected in the result.”
“It’s pleasing to see increases in productivity and higher win-rates following a major restructure In New Zealand,” says Opus chief executive Dr David Prentice.
Prentice says Opus was committed to sustainable growth in key markets such as the Middle East and the Pacific.
“We secured a $20m five-year contract with the Royal Commission of Jubail in the Kingdom of Saudi Arabia, where we operate in a joint venture with Opus International Malaysia,” he says.
“Opus recently won another two asset management contracts with the Municipality of Abu Dhabi,” says Prentice.
“We have secured road, water and energy contracts in Fiji, and there is significant potential for future growth,” he says.
“Opus has also won a contract to provide water and wastewater training to the Water Authority of Fiji as part of a joint initiative between the New Zealand and Fijian governments,” says Prentice.
“The purchase of Fiji Roads Authority’s materials testing laboratories will also help expand our base of operations in the Pacific.” he says.
“The UK business has continued its strong growth trajectory with operating EBIT increasing 280% to $1.4m, and revenue increasing 26% to $33.6m. The results reflect our strategic decision to focus on the core growth areas of transport asset management and rail,” says Prentice.
“In Canada, revenue decreased by 10% resulting in an operating loss of $1.2m. Revenue in Australia decreased by 23% resulting in an operating loss of $2.0m,” he says.
