Professional services company WorleyParsons Limited today announced that as part of its usual year end accounts preparation it is reviewing asset carrying values.
This comprehensive review will reflect the expected ongoing challenging market conditions and will be finalized around the time of the full year results release, scheduled for 26 August 2015.
In the process of assessing asset carrying values across all cash generating units, the Company expects to recognize a non-cash impairment of goodwill of approximately $200 million. This represents approximately 10% of the value of goodwill.
The Company confirms that the impairment of goodwill will have no impact on debt covenants.
Guidance for full year statutory net profit after tax provided on 4 May 2015 did not include the impact of any potential impairment.