RPS results hurt by tough market conditions, strong sterling

31st Jul 2014 12:38

RPS, which provides consultancy services to the natural resources, land and property sectors, said first-half pre-tax profit rose as the European business continued its steady growth.Profit before tax and amortisation of acquired intangibles and transaction related costs came to £31.4m, up from £30.2m a year earlier, despite a fall in revenue from £280.9m to £279.4m. The company said challenging conditions in the Australian resources market, softness in the oil and gas sector and a strengthening of sterling caused a significant reduction in year-on-year profit growth."However, our business model again delivered robust results, with acquisitions making a significant contribution," said chairman Brook Land. Acquisitions including HMA Land Services and GaiaTech in 2013. The dividend was raised to 4.05p from 3.52p."Our flexible and robust business model has demonstrated in recent years that it is capable of generating growth in challenging circumstances," the company said."A number of acquisitions are under active consideration. The board remains focussed on delivering a good result for the full year."RD