Engineering services provider Ausenco (ASX:AAX) has downgraded its profit forecast for calendar year 2009 by up to $17 million, as cautious clients put off commissioning building projects in the view of the fragile global economy.
The company said it expects to record an underlying net profit of between $26 and $30 million, compared to earlier projections of between $40 and $43 million.
CEO Zimi Meka said that Ausenco had won a number of new high profile projects over the course of the year. “[But] clients are taking more time to make decisions on when to proceed with the on-site procurement and construction activities of their projects.”
Ausenco, which improved its operating profit last calendar quarter, expects to post revenue of between $475 million and $465 million for the full year.