London-based LNG engineer Amec Foster Wheeler swung to an interim net loss, due to the oil and gas price downturn.
Amec Foster Wheeler reported a pretax loss of 446 million pounds ($581.4m) in the six months ended June 30, compared with a pretax profit of 73 million pounds in the same period a year ago.
According to the engineering company, asset write-offs and impairment charges accounted for 371 million pounds out of 440 million pounds in total non-cash impairment charges for the six months ended June 30.
Excluding the impairment charges, Amec Foster Wheeler’s trading profit was at 177 million pounds versus 188 million pounds the year before.
Revenue from continuing operations was at 2.84 billion pounds, up by 7 percent from last year, Amec Foster Wheeler said.
“Our industry continues to face very challenging conditions, with capital projects across natural resources markets being delayed and cancelled in many parts of the world,” said Jonathan Lewis, chief executive of Amec Foster Wheeler.
The company’s trading result forecast for the full-year remained unchanged, Lewis said.
“I have initiated a wide-ranging review of the strategy, our organisation structure and cost base – which we are now part-way through. I expect to update investors on these issues in the autumn,” he added.
1 British Pound equals 1.30 US Dollar
LNG World News Staff