Oilfield services firm Petrofac Ltd. (PFC.L, POFCY.PK, POFCF.PK), in an interim management statement, said Friday that it expects growth in backlog in the coming months, and is confident of delivering earnings growth in 2013 and beyond. The company also said it is on course to deliver net profit growth of at least 15 percent in 2012.
Petrofac also aims to achieve its target of more than doubling its recurring Group 2010 earnings by 2015.
Ayman Asfari, chief executive of the company stated, "We are currently experiencing high levels of bidding activity, particularly in the Middle East, North Africa and the Commonwealth of Independent States. Given this bidding activity and our competitive positioning, we expect to grow Group backlog over the coming months."
Petrofac said it experienced good operational performance across its portfolio of Engineering, Construction, Operations & Maintenance, or ECOM, and Integrated Energy Services, or IES, projects in the year to date.
As at September 30, Group backlog was $9.4 billion, up from $8.9 billion at the end of June 2012, comprising $7.6 billion from ECOM and $1.8 billion from IES. Onshore Engineering & Construction backlog is expected to be broadly flat over the second half of the year, reflecting delays in certain Onshore Engineering & Construction tender processes.
Last month-end, Petrofac had secured a $200 million lump-sum, procurement and construction contract from the Kuwait Oil Company. The contract which spans 24 months will be for a new power distribution network in North Kuwait.
In the first half of 2012, the company's profit before tax was $412.54 million and earnings per share were 94.82 cents.
PFC.L is currently trading at 1,638.78 pence, up 0.42 percent, on a volume of 83 thousand shares on the LSE.
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