Hyder Consulting (HYC)

70% of revenues overseas (dubai 10%) and 10% to the UK public sector.



80% of operating profits earned overseas


Market cap £113 million


one of the world's longest established eng consultancies –

High profile projects

 London's Tower Bridge, Sydney Harbour Bridge, Taiwan High Speed Railway and Berlin's main station. architect and engineer for the world's tallest building


A group restructuring in 2009 – now four key sectors: transport, utilities, property and the environment.


to higher margins and better cash generation.




Forward PE applied to SWG and HYC have both been about 7.


consensus broker forecast for normalised EPS about 40p, from the last financial year to end-March 2010 through to 2011/12.






Positive


solid profit and earnings record which rates the shares as investment grade.


Forward PE applied to SWG and HYC have both been about 7.


£2.6 m short-term debt and £15.1 m long-term, offset by £21.4 m cash. given total borrowing facilities of £46.5 million.






Negative


Dubai about 10% of group revenue - explain why sentiment cautious.


Slowdown in Dubai explains order book fallen from £384 m to £346 m (-12%) although more positively, over 60% of the next 12 months' budgeted revenue is secured


Significant intangible assets: £42.2 m of £63.5 m non-current assets, relative to £67.6 million net assets. (Typifying a consultancy type business)




2009/10 prelims cited Asia-Pacific and the Middle East as key areas,