CHRIS ALEXANDER | BNP PARIBAS
Despite solid numbers and the dividend uplift the stock is down due to the caution contained in the outlook statement. The impact of the reduction in UK government spending is evident in the order book. While commercial markets in London are showing signs of recovery it is too early to call a trend.
HOWARD SEYMOUR | NUMIS
Interim results contained several moving parts relative to last year, but the underlying figures were as expected. That said, we are downgrading 2012 estimates to account for uncertainty in the US market especially (we are already assuming the UK will see a profit decline) even though order intake at present remains positive.
JONATHAN JACKSON | KILLIK & CO
Although the interim results were slightly ahead of market expectations, near-term headwinds continue to impact trading. In the UK, the impact of the reduction in government spending is evident in infrastructure markets, while there has been a shortage of consultancy work in the public sector.