Consultant WSP has revealed it expects to file returns in line with board expectations, in a management statement made today, despite ‘uncertain’ market conditions.
“The Group is currently trading in line with the Board’s expectations but the markets remain uncertain. In particular, the private property sector around the world continues to be challenging, although the public sector continues to show resilience,” reads the statement.
WSP said it was trading well in public and regulated markets in Europe, and transport and infrastructure contracts in the UK are bringing rewards. Work in the US is also progressing well, it says.
WSP confirms that: “Funding issues in Dubai remain unresolved and activity in that market is reduced,” although wider Middle East activity remains strong.
The company expects to reap rewards from: “Increasing prominence in the Environmental and Energy global markets,” to, “offset the challenges it faces in the private property sector.”
Reorganisation costs will cost the company £4M in the first six months of 2009, mostly in the UK and Middle East.
Bank debt has increased, but has a £150M credit line confirmed until 2013.
Shares in WSP fell 5% to 264p in early trading.