Welshpool-based engineering services firm RCR Tomlinson Ltd has secured three new orders worth $40 million, while flagging an additional $1.4 million loss in its half yearly results.
Welshpool-based engineering services firm RCR Tomlinson Ltd has secured three new orders worth $40 million, while flagging an additional $1.4 million loss in its half yearly results.
Welshpool-based engineering services firm RCR Tomlinson Ltd has secured three new orders worth $40 million, while flagging an additional $1.4 million loss in its half yearly results.
The full text of a company announcement is pasted below
RCR Tomlinson Ltd is pleased to announce that the company has secured $40 million in new orders through its engineering and site maintenance divisions. These include:
Provision
RCR previously advised in the 2006 annual results of a provision for loss on a fabrication contract. The fabrication contract, work on which has been completed, has now been finalised, with an additional loss of $1.4 million in excess of that which was previously
provisioned. This result will be reflected in the company's half yearly results.
Outlook
The initial months of the first half of this financial year were characterised by delays in receiving engineering tender packages due to industry capacity constraints, resulting in a slower flow of larger orders. With the provision, referred to above, RCR expects this to
result in a 2007HY that is relatively flat compared with the 2006HY result of a net profit after tax of $7.6 million. However, over the last several months RCR has received a large number of new orders as tender packages move through a bottleneck of design capacity
constraint, and this is expected to continue. RCR now has strong levels of work in hand, strong ongoing order flow, and no problem contracts. RCR expects the second half of FY 2007 to be up strongly on the first half.