was mainly due to the contribution of
a number of major projects previously
secured such as the Hay Point Berth,
Gold Coast Light Rail PPP and the LNG
projects in Queensland QCLNG, APLNG
and GLNG. The stronger profit outcome
was the result of good contributions from
our Electrix and Singapore businesses,
the marine business in Australia and
our defence building project in South
Australia. Our financial results included
making significant and disappointing loss
provisions on a small number of projects.
of the 2013/14 budget secured, although
the market remains challenging. Key
sectors, such as Australian resources,
are experiencing a significant retraction.
This, coupled with increasing regulatory
red tape, has led to the cancellation or
deferment of a number of major projects.
As a result we expect the 2014 revenue
levels to retract from the high level of
activity in the 2012/2013 year.
are focused on replacing resources work
with public infrastructure opportunities.
We also continue our focus on growing the
contribution from our overseas businesses,
particularly Asia.
year contributing A$1,299 million. Major
contributors were the Hay Point Berth
and Gold Coast Light Rail projects in
Queensland. A commercial settlement
was agreed on Hay Point removing
significant downside risk on this previously
problematic project. Other highlights
include the completion of the Adelaide
Desalination Project, which received a
Distinction Award at the Global Water
Awards held in Spain, and a breakthrough
win in Victoria with the awarding of an
alliance contract with VicRoads, the state
government road authority. We continue
to target opportunities in the resources
sector, however the overall level of capital
development going forward is expected to
be reduced from previous highs. With the
slowing of this market the company has
shifted its focus to transport infrastructure
opportunities in NSW, Western Australia,
Victoria and Queensland. A restructure
of the Australian operations has also
occurred to drive better client and market
focus, and improve executive governance
and risk management across all projects.
conditions although revenues were below
expectations reflecting the competitive
nature of our markets. The South East
Asian market remains patchy with
significant work won in Indonesia and
Singapore. In contrast, Hong Kong,
Thailand and Philippines remain a
results are positive, the forward market is concerning
growth. Consequently we expect reduced revenue for
Zealand work on major developments such
as the Waterview Connection Alliance and
the Te Mihi Geothermal Power Station are
progressing well. Opportunities in New
Zealand and the Pacific will continue to
come from the transport, power and water
sectors. Winning new work remains a
challenge in the Middle East however there
are some positive signs going forward and
the focus remains on growing revenue in
Qatar and Saudi Arabia.
the overall 2012/13 result was below
expectations. This was primarily due to
the losses taken on the QCLNG project,
with significant executive effort being
applied to completing these projects and
securing our commercial entitlements.
The QCLNG project will remain a significant
risk until completion which is expected by
December 2013 and until we resolve our
commercial negotiations.