FW profits surge amid robust engineering services demand
9 May 2007
FW provides engineering, procurement, construction, manufacturing, project development and management, research and plant operation services. It serves the refining, upstream oil and gas, LNG and gas-to-liquids, petrochemical, chemicals, power, pharma, biotech and healthcare industries.
Group earnings (EBITDA) for the three months to 31 March surged 254% year-on-year to $162.3 million, while new orders rose 29% to $1.07 billion and order backlog 10% to $2.74 billion, said an FW press statement.
“Our consistent pursuit of commercial and operational excellence is clearly re-inventing the earning capability of our 116-year-old company, " said Raymond Milchovich, chairman and CEO of the Hamilton, Bermuda-based group. “Both of our business groups delivered performance breakthroughs from the year-ago quarter."
FW’s Global Engineering & Construction (E&C) Group posted a first quarter EBITDA of $141 million, 157% higher than the same period in 2006. Operating revenues at the unit came in 78% higher at $529.6 million, with bookings ($533.3m) and order backlog ($1600m) up 26% and 20%, respectively.
The Global Power Group, meanwhile, reported a 168% rise in EBITDA to $37 million on sales of $325 million – 48% higher than a year ago. Bookings stood at $540.7 million, a 31% increase, though order backlog dipped 1% to $ 1140 million.
FW said it plans to continue to increase the capacity of both business groups to exploit opportunities offered by currently strong market conditions.
At the end of the first quarter of 2007, FW had nearly 13,000 employees worldwide -- its Global E&C Group having increased manpower by 9% over the three months and 60% since year-end 2005. The Global Power Group increased its total manpower by a more modest 3% during Q1 2007.
