UPDATE 1-Stantec first-quarter profit rises 9.7 percent
May 1st, 2008 | by admin |TORONTO, May 1 (Reuters) - Profit at engineering firmStantec Inc (STN.TO: Quote, Profile, Research) (SXC.N: Quote, Profile, Research) rose 9.7 percent in the firstquarter, the company said on Thursday, crediting increaseddemand in its environment and industrial businesses.
Stantec said net income rose to C$16.9 million ($16.6million), or 37 Canadian cents a share, in the first quarterfrom C$15.4 million, or 33 Canadian cents, in the same periodthe year before.
Net revenue increased by 32.6 percent to C$254.9 millionfrom C$192.3 million.
Edmonton, Alberta-based Stantec provides design andconsulting services in architecture, engineering, surveying,economics and project management.
The company completed four acquisitions in the firstquarter, including that of Secor International, which providesenvironmental consulting and engineering services. Theacquisition brought more than 700 employees and 40 offices toStantec, mainly in the United States.
Stantec also purchased civil and environmental engineeringfirm Zande Companies, as well as Rochester Signal, whichspecializes in railway signal systems, and RHL Design Group,which provides design services.
“Our employees have been able to successfully lever theincreasing size and scope of Stantec,” said President and ChiefExecutive Tony Franceschini in a statement.
“This has occurred while we continue to integrate newlyacquired companies and meet the challenges of changing marketconditions through effective work-sharing across offices.”
Shares of Stantec were up 42 Canadian cents, or 1.4percent, at C$30.05 on Thursday morning on the Toronto StockExchange.
($1=$1.02 Canadian) (Reporting by Leah Schnurr; Editing by Peter Galloway)
