Parkman, originally a consultant engineer, has chosen to come to the market — raising £10m — at a good time, as the company has developed a robust outsourcing operation, which accounts for one half of sales and is on target to make up three-quarters.
Profits hit £1.1m in the year to March 2001 compared with £100,000 in 1999 and City analysts expect Parkman profits will double this year and hit £4.3m by March 2003.
Parkman provides ongoing advisory services to local authorities and to Railtrack on how to operate and maintain infrastructure.
The company strategy is to win small to medium-sized contracts, which carry less risk, but it aims to move into the big time when ready.
Transport PFIs key for Atkins
W S Atkins sees PFI as a major part of its strategy for the future, and the strategy is paying off, with pre- tax profit at £31.5m, unchanged on the previous year, on sales up 30 per cent at £674m. The key growth point for the company is the transport division, which deals with road and rail projects. Sales soared 25 per cent to £188m.
The company has just clinched three long-term multi-million pound contract for the Highways agency and Hampshire County Council.
WS Atkins will be the managing agent for all trunk roads in East Anglia from 1 September this year, in a contract valued at £20m over five years with a two-year extension option.
Hampshire County Council has chosen WS Atkins as its partner for the development of its Local Transport Plan in a three-year deal worth £1m per annum.
Further north, WS Atkins has been awarded a three-year maintenance contract from the City of Bradford worth £6m per year.
W S Atkins is also one of the consortia bidding for London Underground maintenance contracts. Deutsche Bank is forecasting pre-exceptional, pre- tax profits of £48m for the current year.
Source
The Facilities Business
Postscript
Malcolm Craig is editor of Stockmarket Confidential
