Wood Group says it remains on target to deliver ‘good growth’ and hit financial targets for the first half of the year.
The company, which has seen shares rise by around seven per cent this year, was boosted by strong performances in its engineering and North Sea operations.
“The Group is on course to deliver good growth in the first half and remains confident of achieving full year performance in line with expectations,” the company said in a statement.
“We remain confident of achieving full year performance in line with expectations. Looking further ahead, our strong balance sheet, market fundamentals, leading positions, and balance of opex and capex related activities position the Group well for longer term growth.”
The company’s engineering division is on track to achieve growth of around 15% before interest, tax and amortisation, while Wood Group also hailed its US onshore business’s growth on the back of shale regions.
Renewed contracts with Ithaca Energy and Teekay helped boost the North Sea division, while the company has also recently won international work in Oman and with Shell in Iraq.
The company said that cost reduction initiatives were now taking effect in the Wood Group GSP Maintenance division, which was also being improved in the second quarter by engine overhaul work.