Worley reaffirms FY25 outlook, sees stronger second half
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The news: Engineering group Worley has reaffirmed its outlook for earnings growth in FY25, and said the second half of the fiscal year is likely to be stronger than the first half.
The numbers: Worley chief executive Chris Ashton told shareholders ahead of the annual general meeting that the company continues to target low double-digit earnings growth in FY25 and expects the underlying EBITA margin to be within a range of 8% to 8.5%.
Separately, Worley said it had 1,048 project wins during the first quarter in sustainability-related work, higher than the 840 wins in Q4 FY24 and 775 in the year-ago quarter.
The context: Ashton said the outlook remained consistent with the one delivered in August despite ongoing geopolitical tensions affecting normal operations of global markets.
Worley said it is well-positioned strategically to win a competitive share of work coming out of the new US administration’s policies, particularly around its focus on LNG as a transitional fuel.
However, growth across the rest of the globe is likely to be moderate compared to that of FY2024, as policy settings of many governments supporting investment in the energy transition are impacted as a result of a major election cycle, Ashton said.
What they said: “We expect the second half of FY25 to be stronger than the first half as the rebalancing process proceeds during this year. We expect some growth on procurement volumes due to project mix and timing,” Ashton said.
The sources: ASX announcement, ASX announcement
