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KBC Advanced Technologies
KBC Advanced Technologies plc (KBC) is a leading independent consulting, process engineering and software group, which optimises operating efficiency improves financial performance for clients in the oil refining, petrochemical, and other process industries worldwide.
Interim Results - Upgrade
Excellent first half good H2 expected
Consultancy services selling strongly; overall demand increasing
Increased forecasts:
2008 PBT up to £5.2m (£4.1m)
2009 revenues up to £54.8m (£48.2m)
2009 PBT now seen at £6.2m (£4.9m)
Price target per share of 110p 120p maintained
Business exceeding expectations, forecasts upgraded
Demand and growth driven by China
Aggressive recruitment underway
Fair value / share now seen at 110-120p vs current 52.5p
Good 2007 results, earnings ahead of expectations
Strong growth in contract awards and workload backlog
Software sales increase by 23%
Dividend increased by 50%
Demand remains robust 2008 should be another good year
Positive trading update
The high level of activity in the global oil refining sector has sustained the strong trading seen by KBC in the first half of 2007 through the second half of the year ending 31 December 2007. Consequently the company expects final results in line with market expectations. With oil refining looking robust for the foreseeable future, strong demand for KBC's services and software is expected to see the company continue its growth trajectory in 2008, particularly as the company enters the year with a full first quarter order book.
KBC - strong interims
Good Results:
Revenue growth of 6% over the same period last year, PBT increased by 260% as a result of successful implementation of cost controls. Contract awards increased by 60% to £19m, and the order backlog stood at 24% higher at £28m.
The company is clearly benefiting from the strength of the oil market, with crude prices remaining near nominal all time highs and strong refining margins expected to continue for the foreseeable future.
