Murray & Roberts up-beat

A trading statement from Murray & Roberts, South Africa's largest construction and engineering company, says it expects its underlying profits for the financial year to 30 June to +90% to +100% up on the previous year.

However, the increase will be reduced to between +70% to +80% when a one-off charge of AU$ 110 million (US$ 85 million) against its Australian associate Clough is included.

Murray and Roberts holds 49% of Clough, and will consolidate this into its accounts from 1 July.

However, Clough will make the provision in its accounts this year, “for final resolution of legacy problems and projects, all of which arose prior to Murray & Roberts acquiring any interest in Clough.”