Business Description:
Clough Limited (CLO) is an Australia based integrated engineering, procurement and construction company specializing in the delivery of oil and gas projects across Australia, South East Asia and the USA. The Group's services range from concept development through design, construction, installation, commissioning, operations and maintenance. CLO’s operating structure includes Capital Projects, Marine Construction and Asset Support.

Strategy Analysis:
The company's core skills are project management, engineering and construction focusing on the oil and gas market in Australia and South East Asia, Australian minerals and water infrastructure projects and on the mining sector through its 82% owned Indonesian subsidiary PT Petrosea. This has resulted in the disposal of non core business activities including its equity stake in engineering firm Shedden Uhde and power station operations and maintenance company, Clough Engineering & Maintenance. Although servicing the Oil & Gas industry is the major focus, CLO also has EPC skills, partnerships and local expertise to provide innovative solutions to the minerals and water industries. Clough reported NPAT down 33% to $33.35m for the year ended 30 June 2011. Revenues from ordinary activities were $1.01bn, up 25% from last year. Diluted EPS was 4.30 cents compared to 6.61 cents last year. Net operating cash flow was $16.34m compared to $97.39m last year. The final dividend declared was 2.2 cents, taking the full year dividend to 2.2 cents, in line with 2.2 cents last year. On 8 August 2011 the company announced that it had entered into an agreement to sell the Marine Construction division to SapuraCrest Petroleum for a cash consideration of $127m. The transaction is expected to complete towards the end of Q4 2011.