Effects of changes to segmentation

On 2 March, in the results announcement for the year ended 31 December 2016, we reported that the Board had decided that, from 1 January 2017, the Group would operate and report three multi-disciplinary regional segments: Australia Asia Pacific ("AAP"), which has been in existence since 2013, Europe and North America. The latter two have been formed by combining Built and Natural Environment ("BNE"): Europe with the Europe, Africa and Middle East ("EAME") component of Energy and BNE: North America with the North America component of Energy.

The effect of these changes on the segment results for the year ended 31 December 2016 and on the six months ended 30 June 2016 is given below in notes 1 and 2 respectively.

21 April 2017

 

ENQUIRIES
RPS Group plc
Dr Alan Hearne, Chief Executive Gary Young, Finance Director	Tel: 01235 863 206
Instinctif Partners
Justine Warren Matthew Smallwood	Tel: 020 7457 2020

 

RPS define, design and manage projects in the property, energy, transport water, defence and security and resources sectors across 125 countries. Our main offices are in the UK, Ireland, the Netherlands, Norway, the USA, Canada and Australia Asia Pacific. We undertake projects in many other parts of the world.

Note 1

Segment results for the year ended 31 December 2016 as restated

£000's	Fees	Expenses	Intersegment revenue	External revenue
Europe	307,671	42,406	(1,603)	348,474
North America	98,560	9,722	(323)	107,959
AAP	130,140	8,439	(541)	138,038
Group eliminations	(2,075)	(392)	2,467	-
Total	534,296	60,175	-	594,471

 

£000's	Underlying profit	Reorganisation costs	Segment Profit
Europe	42,120	(3,289)	38,831
North America	10,623	(1,079)	9,544
AAP	15,481	(1,246)	14,235
Total	68,224	(5,614)	62,610

Segment results for the year ended 31 December 2016 as originally presented

£000's	Fees	Expenses	Intersegment revenue	External revenue
BNE - Europe	269,029	36,166	(714)	304,481
BNE - North America	65,382	6,398	(160)	71,620
Energy	71,490	9,327	(485)	80,332
AAP	130,140	8,439	(541)	138,038
Group eliminations	(1,745)	(155)	1,900	-
Total	534,296	60,175	-	594,471

 

£000's	Underlying profit	Reorganisation costs	Segment Profit
BNE - Europe	35,598	(460)	35,138
BNE - North America	8,156	(305)	7,851
Energy	8,989	(3,603)	5,386
AAP	15,481	(1,246)	14,235
Total	68,224	(5,614)	62,610

Detailed reclassification for the year ended 31 December 2016

£000's	Fees	Expenses	Intersegment revenue	External revenue
Europe	38,642	6,240	(889)	43,993
North America	33,178	3,324	(163)	36,339
Energy	(71,490)	(9,327)	485	(80,332)
AAP	-	-	-	-
Central	(330)	(237)	567	-
Total	-	-	-	-

 

£000's	Underlying profit	Reorganisation costs	Segment Profit
Europe	6,522	(2,829)	3,693
North America	2,467	(774)	1,693
Energy	(8,989)	3,603	(5,386)
AAP	-	-	-
Total	-	-	-

Note 2

Segment results for the six months ended 30 June 2016 as restated

£000's	Fees	Expenses	Intersegment revenue	External revenue
Europe	151,363	20,406	(835)	170,934
North America	47,312	5,052	(187)	52,177
AAP	63,171	5,358	(209)	68,320
Group eliminations	(1,042)	(189)	1,231	-
Total	260,804	30,627	-	291,431

 

£000's	Underlying profit	Reorganisation costs	Segment Profit
Europe	17,093	(2,452)	14,641
North America	5,339	(448)	4,891
AAP	7,344	(1,037)	6,307
Total	29,776	(3,937)	25,839

Segment results for the six months ended 30 June 2016 as originally presented

£000's	Fees	Expenses	Intersegment revenue	External revenue
BNE - Europe	131,205	17,332	(275)	148,262
BNE - North America	31,957	3,675	(81)	35,551
Energy	35,300	4,327	(329)	39,298
AAP	63,171	5,358	(209)	68,320
Group eliminations	(829)	(65)	894	-
Total	260,804	30,627	-	291,431

 

£000's	Underlying profit	Reorganisation costs	Segment Profit
BNE - Europe	16,751	(383)	16,368
BNE - North America	4,753	(151)	4,602
Energy	928	(2,366)	(1,438)
AAP	7,344	(1,037)	6,307
Total	29,776	(3,937)	25,839

Detailed reclassification for the six months ended 30 June 2016

£000's	Fees	Expenses	Intersegment revenue	External revenue
Europe	20,158	3,074	(560)	22,672
North America	15,355	1,377	(106)	16,626
Energy	(35,300)	(4,327)	329	(39,298)
AAP	-	-	-	-
Central	(213)	(124)	337	-
Total	-	-	-	-

 

£000's	Underlying profit	Reorganisation costs	Segment Profit
Europe	342	(2,069)	(1,727)
North America	586	(297)	289
Energy	(928)	2,366	1,438
AAP	-	-	-
Total	-	-	-