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Amec swings to loss in 2015 but outlook welcomed

Thu, 10th Mar 2016 09:16

(ShareCast News) - Amec Foster Wheeler said it swung to a loss in 2015 but shares in the oil and gas engineer rose sharply as investors welcomed the company's debt line and outlook.The group posted a pre-tax loss of £235m compared with a profit of £155m in 2014 amid challenging conditions in the oil and gas markets.Chief financial officer Ian McHoul said: "Our 2015 trading performance was in line with our November update. We expect the challenging market conditions to continue for the foreseeable future and our priorities remain the same."Our focus is to maintain our solid operational performance and drive our cost reduction and efficiency programmes."Amec announced plans to sell its Global Power Group unit and halve its net debt in the next 15 months through non-core disposals."2016 is expected to be another year of challenging market conditions across upstream Oil & Gas and Mining. However, our exposure to a number of end markets, including downstream Oil & Gas, renewables and government work means we expect to see only a slight fall in like-for-like revenue, and a reduction in trading margins significantly less than the decline in 2015," McHoul said.Amec expects net debt of around £1bn at the year end, which is lower than its guidance.The company recommended a final dividend of 14.2p per share, which together with the interim dividend of 14.8p takes the total dividend to 29p, down from 43.3p in 2014.Canaccord Genuity, which rates the stock at 'buy', said the results were in line in terms of the earnings and dividend, "but the excitement is in the debt line and the outlook".It said net debt of £959m at year-end was more than £100m better than its estimate, thanks to strong working capital inflows."We believe this is a very solid set of results and despite the recovery in the stock over the past two weeks we continue to see substantial upside," Canaccord said.At 0930 GMT, Amec shares were up 7.8% to 505.50p.
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26 Aug 2016 15:58

Broker tips: CRH, Amec Foster Wheeler, BAE

(ShareCast News) - Societe Generale downgraded its recommendation on building materials group CRH to 'hold' from 'buy' following the stock's outperformance. The bank said CRH's equity story is still attractive, but after the 31% year-to-date outperformance versus the broader market, the medium-term

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26 Aug 2016 10:21

Morgan Stanley ups Amec Foster to 'overweight'

(ShareCast News) - Morgan Stanley upgraded Amec Foster Wheeler to 'overweight' from 'equalweight' and bumped up the price target to 700p from 500p saying restructuring should outweigh disposals. The bank attributed the price target lift to increased confidence that the new CEO will drive a better ea

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26 Aug 2016 07:07

LONDON BRIEFING: All Eyes Turn To Fed Chair Yellen's Speech

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23 Aug 2016 09:19

Tuesday broker round-up

(ShareCast News) - Ithaca Energy: Barclays reiterates underweight with a target price of 70p. Mediclinic: JP Morgan maintains neutral with a 1160p target. Premier Oil: Barclays reiterates overweight with a 100p target. South 32: Jefferies reiterates hold with a 110p target. Mondi: Citigroup keeps

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23 Aug 2016 08:22

BROKER RATINGS SUMMARY: Jefferies Upgrades BHP Billiton To Buy

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16 Aug 2016 16:01

LONDON MARKET CLOSE: End Of Eight-Day Rally Despite Higher Oil Prices

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12 Aug 2016 09:36

Friday broker round-up

(ShareCast News) - Britvic: Berenberg reiterates buy with a target price of 775p. RSA Insurance: Deutsche Bank maintains hold with a 525p target. GlaxoSmithKline: JP Morgan reiterates neutral with a 1900p target. Amec Foster: Goldman Sachs stays at buy with a 691,1p target. A.G. Barr: Berenberg d

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10 Aug 2016 08:35

BROKER RATINGS SUMMARY: Panmure Raises RSA Insurance To Buy From Hold

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9 Aug 2016 19:10

Amec Foster Wheeler leads gains among oil equipment and service stocks

(ShareCast News) - Oil equipment and services stocks saw another day of gains, with shares in Amec Foster Wheeler spearheading the advance in the wake of its latest interim figures. Amec reported higher sales and lower earnings in the first half of the year which were better than the market expected

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9 Aug 2016 09:43

WINNERS & LOSERS SUMMARY: Worldpay Bid Up After Strong First Half

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9 Aug 2016 09:01

EXTRA: Amec Foster Wheeler's Underlying Results Beat Expectations

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9 Aug 2016 08:38

Amec Foster Wheeler beats first-half forecasts, review due in autumn

(ShareCast News) - Amec Foster Wheeler's higher sales and lower earnings in the first half were better than the market expected, while the engineer also impressed with cost cutting and its continued expansion into renewable energy. Revenue in the six months to 30 June of £2.8bn was up 7% on the same

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9 Aug 2016 06:51

Amec Foster Wheeler Turns To Loss Despite Managing To Lift Revenue

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12 Jul 2016 07:18

Amec Foster Wheeler wins two contracts with Repsol Sinopec

(ShareCast News) - Amec Foster Wheeler said it had won two long-term major services contracts as part of Repsol Sinopec Resources UK's long-term transformation and commitment to the North Sea. Both contracts are for an initial three-year term with up to two one year extensions. The new contracts ar

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12 Jul 2016 06:40

Amec Foster Wheeler Wins Two Maintenance Deals In North Sea

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