For more than 125 years, Wood has delivered comprehensive services throughout North America to support our customers across the complete asset life cycle.
Read moreWe are known in Europe for our unrivalled asset familiarity and performance-driven solutions throughout the asset life cycle, from development to decommissioning.
Read moreBacked by an 85+ year history of operating within the Asia Pacific region, Wood is proud of its longstanding partnerships, underpinned by our proven ability to optimise asset performance, drive capital efficiency and deliver for our customers.
Read moreWood has been present in the Caspian region for over 20 years. We combine our strong knowledge of the area, global expertise across the entire asset life cycle and experience required to operate successfully in the harsh and complex environment of the world’s largest land-locked body of water.
Read moreThe Middle East is a key growth area for Wood. We have maintained a presence in the region for over 7 decades; helping design, build, operate, maintain, and modify some of the world’s largest and complex facilities.
Read moreWood is strategically located throughout Latin America and the Caribbean in a variety of sectors including oil and gas, refining, chemicals, water, mining, energy, industrial plants and facilities and communications.
Read moreOur footprint in Africa continues to expand. For over 30 years we have been investing selectively to improve local services and support communities.
Read moreHome > Annual Report 2019
Annual Report and Accounts 2019
"In 2019 we delivered earnings growth, margin improvement and strong cash generation which resulted in a reduction in net debt. Our strategy has driven decisive action to align Wood with the significant growth opportunities in energy transition and sustainable infrastructure and we made good progress on portfolio optimisation and the repositioning of our consulting, project and operations service offering in 2019. The disposal of our nuclear and industrial services businesses generated proceeds of c$430m in Q1 2020 and accelerated progress to target leverage. We are confident that from this foundation we are building a differentiated, premium, higher margin business, supported by a continued focus on margin improvement, execution excellence and portfolio optimisation."
Robin Watson, Chief Executive
Earnings growth, margin improvement and strong cash generation. Portfolio optimisation supports strategic positioning for opportunities in energy transition and sustainable infrastructure.
Revenue1
1.2%
$9,890m (2018: $10,014m)
Adjusted EBITDA1,2
movement: n/a2
$855m (2018: $694m)
Adjusted EBITDA margin
movement: n/a2
8.6% (2018: 6.9%)
Adjusted EBITDA (on a like for like basis)3
5.4%
$704m (2018: $668m)
Adjusted EBITDA margin (on a like for like basis)3
0.4%
7.1% (2018: 6.7%)
Operating profit before exceptional items1
15.1%
$411m (2018: $357m)
Operating profit
83.6%
$303m (2018: $165m)
Profit/(loss) for the period
movement: n/a
$73m (2018: $(8)m)
Basic EPS
movement: n/a
10.7
cents (2018: (1.3)cents)
Adjusted diluted EPS1
1.3%
46.0
cents (2018: 46.6 cents)
Total dividend
0.9%
35.3
cents (2018: 35.0 cents)
Net debt excluding leases4
5.9%
$1,424m (2018: $1,513m)
Order book5
7.3%
$7,898m (2018: $8,524m)
Financial performance
Outlook for 2020
See the full list of footnotes referenced above
Read more
To help the Group assess its performance, our leadership team sets KPI targets and monitors and assesses performance against these targets on a regular basis.
Wood is a global leader in consulting, projects and operations solutions in energy and the built environment.
Our consultancy offering provides innovative solutions needed to solve our clients' biggest challenges. Our value-added projects and operations offerings help unlock and de-risk client projects, increase production, improve efficiency, reduce costs and extend asset life.
60+
400+
160+
c$10bn
55,000+
We have an optimised operating model that is service defined. We deliver three principal services:
Across two broad end markets:
Energy
Built environment
We create value by delivering differentiated consulting, projects and operations solutions throughout the asset life cycle in energy and the built environment. Our clearly defined purpose and strategy, underpinned by our culture, is fundamental to sustaining value over the longer-term.
Performance driven and innovative solutions
Talented, flexible and motivated workforce
Operating structure optimised for sustainability, cross-service line opportunities and future growth
Efficient capital structure and allocation
Flexible commercial model with a balanced risk appetite
Robust risk governance and operations assurance policies and processes
Sustainability strategy aligned with UN goals
Our purpose:
to create a sustainable future for energy and the built environment
Four primary trends shape our markets and drive our strategy. Our capabilities are levered to structural growth in energy transition and sustainable infrastructure and aligned to the increasing role of digital & technology and the requirement to develop the necessary future skills.
Services aligned to the transition to alternative energy sources and decarbonisation
Investing in agile and digitally connected teams to accelerate value for Wood and our clients
Capabilities to solve the challenges of rapid urbanisation
Utilising the increased role of technology to enhance the delivery of our technical capabilities
Targeting margin improvement to accelerate growth
Optimise and standardise service delivery model to achieve exceptional execution
Rationalisation and positioning of portfolio to optimise our service and market mix aligned to our strategic objectives
Technology differentiation through internal R&D, strategic partnerships and scaleable solutions
Improved risk/reward on contracts in line with balanced risk appetite
Our strategic enablers:
We deploy our most talented people with agility to deliver the right solutions now and in the future. Our ability to adapt keeps us relevant and offers great opportunities for our people.
We are differentiated by our shared commitment to consistently delivering exceptional outcomes that add value and build trust. We have around 90% repeat business and have developed leading market positions from our long track record of delivering safe and best in class projects.
We employ an asset light, flexible model allowing us to respond quickly to changes in market conditions and allocate capital where it impacts most. Our contracting structures are largely reimbursable with a range of specific contracting structures to align with client needs within our measured risk appetite. We have a broad client base with a wide mix across sectors giving us low client dependency.
We deliver greater efficiencies and create new solutions through combining our unique know-how with leading-edge enabling technology. We provide solutions to some of the world's most complex projects and draw on our extensive expertise and know how to bring new perspectives on the challenges these projects present.
For investors
Total dividend
35.3
cents per share
For employees
Rewarding careers and focus on retention
Employees
55,000+
For clients
For communities
Significant contribution to local employment and communities
Employee fundraising matched
c£200,000
Our culture, defined by our vision, values and behaviours, underpins our business model
Find out moreIn order to successfully deliver our strategy and create value for our stakeholders it is important to understand what matters to them.
Understanding our stakeholders will only be achieved by building strong, constructive relationships and through regular engagement. We welcome the different perspectives our diverse stakeholders, who often represent competing interests, bring to our decision making at both executive and Board level.
John Wood Group PLC
Annual Report and Accounts 2019 downloads