Growth in Turnover and Profit of Fugro Continues
The combination of high utilization, price improvements and capacity expansion at Fugro will result in noticeably higher profit and turnover over the first half-year 2006 compared to the first half-year 2005.
The demand for oil and gas related offshore services remains strong world wide. The expansion and modernization of Fugro's seismic capacity is in line with the increasing demand for such services. In the Middle East the construction and infrastructure related activities continue at a high level. In a number of previously weaker countries, these activities are picking up, there is however room for further improvement. The high utilization of the mining industry related services continues. The above mentioned developments will result in a higher turnover and profit over the first half-year 2006 in all three divisions.
For the total company it is expected that the turnover over the first six months of 2006 will increase by approximately 20% compared to last year. The net profit margin over the first half-year 2006 will increase to approximately 8%, partly as a result of a very strong first quarter. (for comparison purposes over the first half-year 2005 the turnover was EUR 518.2 million and the profit EUR 32.1 million, which resulted in net profit margin of 6.2%).
The outlook for the second half-year is favorable and barring unforeseen circumstances, turnover and net profit for the full year 2006 will be higher than in the record year 2005.
Fugro will present the results for the first six months of 2006 on August 11, 2006. At that time also a more specific profit forecast for the full financial year 2006 will be given.