Coffey achieves record profits

Project management consultancy Coffey International has announced record operating earnings of $32.6 million for the six months ending December, 2008.

Project management consultancy Coffey International has announced record operating earnings of $32.6 million for the six months ending December, 2008.

The result exceeds the company’s preliminary range of $29-$31 million announced on January 30.

Coffey’s total revenue was up 75.9% from $237.6 million to $417.9 million compared to results from the first half of 2008.

Coming in at a time of such economic turmoil, the record result showed the value of having a diversified business model, Coffey managing director Roger Olds said.

“Our businesses have performed strongly across the board,” he said.

“We have had substantial organic and acquisition growth and we have been able to take advantage of governments around the world increasing spending on infrastructure and aid programmes.”

Olds said the latest results, coupled with cash management, mean that Coffey’s debts are at similar levels to the middle of 2008 and the company has approximately $100 million of cash and debt available.

“We do not plan to raise additional capital in the current market and will continue to focus on keeping debt at acceptable levels through strong working capital management.

“We will explore acquisition opportunities that arise, however if none are forthcoming we will be well placed to maintain strong dividends.”

Despite the grim state of the market, Coffey is well placed to continue its growth in the future, Olds said.

“Coffey is investing in our business to increase our market share and efficiency, with the aim of generating continued growth through the next two to three years,” he said.

“We still believe growth is possible and that will continue to be a key part of our focus during the coming years.

“We expect it will be more modest than past years, but any growth would be a good outcome given the current global economic events.”

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