WYG confident on profit plans
PROJECT manager and consultancy WYG believes it can return to an operating profit “in the near term” by shifting its focus to implement its global strategy.
Speaking this morning as the Leeds-based business unveiled its annual results, chief executive Paul Hamer said the company’s strong second half showing was evidence that its strategy was working.
WYG, which operates both in the UK and internationally, has undergone a major restructuring over the last 12 months involving the raising of £30m and the conversion of £51m of the group’s net debt.
Mr Hamer (pictured below right) said today that the first year of the ‘new WYG’ had been one of “tremendous change” but its annual performance had been one in line with management’s expectations and the company now had a strong balance sheet.
He said: “The considerable improvement in the group’s performance in the second half of the financial year compared with the first half reflects the continuing benefits of the board’s strategy and the excellent progress made with implementing the ‘self help’ measures identified last year.
“Going forward, the group’s focus now shifts from internal improvements to creating quality top line growth through the delivery of our Global Integrated Strategy.
“Against this backdrop, the board is confident of returning the group to an operating profit in the near term.”
For the year ended March 31, WYG posted revenues of £139.9m and an earnings before interest, tax, depreciation and amortisation loss of £1.5m, compared to a £2.2m profit over the previous nine months.
The company made an operating loss of £3.5m, down from a profit of £100,000 over the previous nine month.
WYG, which said trading since the year end had also been in line with expectations, has an order book that stands at £153.6m.
International orders have been won in the Western Balkans, Eastern Europe and the Middle East/North Africa.
However, WYG said the UK trading environment is more stable, with improvements in certain UK public and private spending activity.
