Results released
Wood seeks relisting of shares as profits slump
Wood Group posted a slump in sales in the first half of 2025 as the engineering and consulting firm cleared another path on route to a shareholder vote next month on its acquisition by Sidara.
The results for HY24 have been restated following the findings of an Independent Review, and include further management review and audit adjustments.
EBIT fell 38% to $63 million compared to the same period last year, reflecting a 13.3% decline in revenue to $2.4 billion and the impact of business disposals.
Despite these challenges, the company’s order book grew to $6.5bn, up 6% year-on-year and 12% from December 2024, indicating continued client confidence in Wood’s technical capabilities.
The company secured several significant contracts during the period, including a $400m contract with ADNOC Gas for a facility expansion and a major project with Thaioil to produce cleaner fuels.
In August, Dubai-based Sidara made an offer of 30p per Wood share, valuing the company at £216m, which the board has unanimously recommended. The acquisition includes a capital injection of $450m.
The shareholder vote on the acquisition will take place in the week of 17 November and, subject to the shareholder vote and satisfaction or waiver of the other outstanding conditions, is expected to complete in the first half of 2026.
Now that the company has published its 2024 accounts, and its HY25 statement, it will apply to the Financial Conduct Authority to seek re-admission of Wood’s shares to listing and trading.
Wood says the acquisition gives the business greater certainty, will substantially enhance the company’s liquidity and support long-term growth.
“Together, Wood and Sidara will be in a stronger position to deliver for our clients and establish an energy leader that leverages the expertise and knowledge of both firms,” said the company.
Iain Torrens, Interim CFO and incoming CEO, said: “As we near the close of this challenging chapter in Wood’s history and look to enter this next period, we are focused on strengthening the company while still delivering high-quality work for our clients.
“Importantly, we are progressing the Sidara acquisition of Wood, which will provide greater stability for Wood, open new opportunities for our employees and support long-term growth.”
“While trading in the first half reflected the challenges facing the group, we continued to secure work across our markets,” said Ken Gilmartin, outgoing CEO. “Against a difficult backdrop, our people have remained focused on delivering excellence for our clients.”
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Many shareholders will feel this is a stitch up. With an order book valued at $6.5 billion its clients see confidence in Wood Group. What on earth has gone on with its board of directors to see such a loss in value of the company from a share price of over 800p in the last decade to recommending acceptance of an offer of 30p today? Astonishing!