Worley Ltd reported a 35.6% decline in statutory net profit after tax to $306 million for the fiscal year ended June 30, as restructuring costs and Middle East disruptions weighed on earnings.
The Sydney-based engineering group incurred $120 million in pre-tax restructuring costs, primarily linked to the cancellation of two chemicals projects in Western Europe. Underlying earnings before interest and tax fell 10.8% to $734 million, while underlying net profit after tax declined 16.8% to $395 million. Total revenue remained flat at $12.02 billion, though the underlying EBITA margin contracted to 6.1% from 6.8%.
Geographical headwinds included a $58 million earnings reduction from the Middle East conflict and softer demand in Europe’s chemicals sector. Growth in the Americas, driven by execution on Venture Global’s CP2 LNG project in Louisiana, partially offset regional weaknesses. New contracts were secured with American Electric Power, Chevron, and Orbia Fluor & Energy Materials.
Despite near-term pressures, Worley maintained its long-term targets, forecasting mid to high single-digit revenue and underlying EBITA growth by fiscal 2027, with a heavier weighting toward the second half. The company also reaffirmed its ambition for double-digit earnings growth by fiscal 2030.
The board declared a final dividend of 25 cents per share, unfranked, payable on September 30. Bookings rose 23% to $15.5 billion, while backlog increased 9% to $13.8 billion, though the latter declined from $16.7 billion at the half-year after the ExxonMobil Baytown Blue Hydrogen project was paused.
