Hyder Consulting PLC
LSE : HYC

November 23, 2009 02:00 ET

Half Year results for the six months ended 30 September 2009

Hyder Consulting PLC
23 November 2009


HYC.L

                                           Hyder Consulting PLC (HYC.L)

                           Half Year results for the six months ended 30 September 2009

Hyder  Consulting PLC, the multi-national advisory and design consultancy, is pleased to announce  its  Half  Year
results for the period ended 30 September 2009.


Highlights

*     Secured order book £352m: approximately 60% of next 12 months' revenue secured

*     Revenue increased by 3.1% to £156.3m (2008: £151.6m)

*     International business generating 72% of revenue (2008: 65%)

*     Operating profit £6.8m (2008: £6.7m)

*     Adjusted operating profit* of £8.1m (2008: £8.3m)

*     Net operating margins of 6.1% (2008: 6.5%)

*     Adjusted diluted earnings per share* 15.0p (2008: 16.3p)

*     Interim dividend up 11% to 1.5 pence per share


* before amortisation of business combinations


Sir Alan Thomas, Chairman of Hyder Consulting PLC commented:

"I am pleased to report that our half year results are in line with the prior year and market expectations. Over 
70% of revenues are now earned overseas and our geographic and sector diversity gives us confidence in meeting 
our expectations for the remainder of the financial year."  


Interim Management Report

I am pleased to report that our half year results are in line with the prior year and market expectations.


Results

Our  order book has increased by 1.7% from 30 September 2008 to £352m. Revenue for the period increased by  3%  to
£156.3m  (2008:  £151.6m) and net revenue by 6% to £134.2m (2008: £127.1m), with 72% of revenue generated  outside
the UK.

Operating  profit  increased slightly to £6.8m (2008: £6.7m). Adjusted operating profit was  £8.1m  (2008:  £8.3m)
after  charging  £1.7m of costs for redundancies and office closures in the period. In the prior period  £0.6m  of
redundancy costs have been reclassified against operating profit.

Net  finance  costs amounted to £1.1m (2008: £1.1m) with reduced interest costs on external borrowings  offset  by
higher finance costs on the pension scheme.

The  effective  rate of tax increased to 17.1% (2008: 10.7%) reflecting an increased proportion  of  profits  from
Australia where tax rates are higher than the UK.

Diluted earnings per share fell by 7% to 12.20p (2008: 13.14p) as a result of the higher tax rate.


Dividend

The Board has declared an 11% increase in the interim dividend to 1.5p (2008: 1.35p) payable on 13 January 2010 to
shareholders on the register at 11 December 2009.


Funding

Net debt was £16.2m at 30 September 2009, compared to £5.7m at 31 March 2009.  The increase is due to payments  of
redundancy  and property provisions £6m, special pension contributions £3m, deferred consideration  £1m,  and  the
seasonality  of  working  capital.   We have total facilities of £57.6m and headroom  of  £41.4m.   The  principal
revolving credit facilities totalling £38m are due for renewal in April 2012 and February 2013.


Pension fund

The  deficit  in  the AGPS as reported under IAS 19 increased by £0.3m, net of deferred tax, to £21.1m.  Actuarial
gains of £12.6m were recognised following improved asset returns, offset by actuarial losses from reduced discount
rates of £16.4m. During the period the Group made cash contributions of £4.7m.


Strategy

Our client-centred strategy has led to the winning of a number of important contracts in the period. These include
the  M80  Alliance  contract and further work on the 'Building the Education Revolution' programme  in  Australia;
projects for MTR in Hong Kong, Crossrail and the Environment Agency in the UK; Pentominium Tower in Dubai; and the
A5  PPP  Motorway  in Germany.  Our new market-facing structure has helped us to differentiate  and  execute  more
effectively for our target clients.

A  performance  review  was  undertaken in the first half of the year to improve  operational  efficiency  through
targeted  headcount and office space reductions.  We have continued to exit or reshape operations which have  been
insufficiently  differentiated in the market.  The costs associated with this programme amount to £1.7m  and  have
been absorbed within operating costs for the period.


Regional review

72% of our revenues are earned outside the UK.  This  international spread has enabled us to sustain our operating
profit at last year's levels despite charging redundancy and other one-off costs of £1.7m  (2008: £0.6m);  foreign
exchange gains were approximately £1m.


UK / Europe

Revenue  fell  7% to £60.6m (2008: £65.0m) whilst adjusted operating profits reduced to £1.0m (2008: £4.2m)  after
charging redundancy costs of £0.6m.

In  the UK our transportation business has performed well over the period, with important projects secured in  the
rail  sector for Crossrail, Network Rail and Transport for London.  The property and environment markets have been
difficult  and  we  have  undertaken  further staff reductions to scale back areas  where  we  are  insufficiently
differentiated  and  to  align  our resource levels with market demand. The UK  water  business  suffered  from  a
temporary slowdown in the second quarter ahead of AMP5, although we have won contracts with Severn Trent and South
West Water and are confident of securing further opportunities. During the period headcount has reduced by 8%  and
we have incurred redundancy costs of £0.6m.

In  Germany  the  transport  and  utilities sectors are performing well and we have  won  a  number  of  important
assignments.  The  property market remains difficult with slower sales and some project and debt  write-downs.  We
have  continued  to  restructure  our  operations  in order to sharpen  our  differentiation  and  address  market
opportunities more effectively.  This has resulted in a small reduction in senior staff numbers costing £0.3m. 


Asia Pacific

Revenue increased by 5% to £45.0m (2008: £42.9m), and adjusted operating profits increased by 96% to £4.9m  (2008:
£2.5m).

In  Australia,  we  have  significantly  reduced our overhead base following  the  restructuring  undertaken  last
financial  year  and benefited from the government's stimulus package with a strong workload in the  property  and
transport sectors. Results are substantially ahead of the prior year and we have a healthy order book and prospect
pipeline, giving us confidence for the year ahead.

In  Asia,  our results show an improvement over the previous year with a number of important projects won  in  the
transport sector, particularly with MTR.  We have refocused our businesses in China and significantly scaled  back
our operations in Vietnam.


Middle East

Revenue  increased  by 16% to £50.7m (2008: £43.7m) whilst adjusted operating profits increased  by  3%  to  £3.7m
(2008: £3.6m).

Our  business in the Middle East covers Abu Dhabi, Dubai, Qatar, Bahrain and Saudi Arabia, where we have  operated
for  over 40 years and have close and longstanding client relationships.  During the period we have downsized  our
operations in Dubai resulting in redundancy and associated costs of £0.9m, but have continued to grow in the other
areas.  Whilst  the collection of outstanding debt remains challenging, our working capital has reduced  in  Dubai
since the financial year end.


Board of Directors

Peter  Morgan, formerly our Senior Independent Director and Chairman of two of our Board committees, retired  from
the  Board at the AGM on 23 July and I would like to express the Board's warm appreciation for his greatly  valued
contribution to the Group throughout his time with us.


Principal risks and uncertainties

The  Group operates a structured risk management and internal audit process which seeks to identify, evaluate  and
prioritise  risk, review mitigation activities, and audit compliance with the Group's procedures.   The  principal
risks  and uncertainties facing the Group relate to significant changes in market conditions, contractual disputes
and claims, collection of outstanding debt, recruitment and retention of key staff, project execution, and foreign
exchange movements.


Outlook

We  have  continued  to  make  changes to improve the business and sought to respond effectively  to  the  varying
economic  conditions  in each of our regions. The purpose of these changes is to improve the  operational  rigour,
market  alignment and differentiation of our operations, all of which will help sharpen our competitive  edge  for
the future.

Approximately  72% of our revenues are now generated from overseas markets, and derived from four market  sectors;
transport,  utilities,  property  and  environment.  Hyder's combination of  international  diversity  and  sector
specialisation  equips us well to face the challenges ahead.  We have confidence in meeting our  expectations  for
the remainder of the financial year, with approximately 60% of the next 12 months' forecast revenue secured.

I  would like to thank our clients for their support and our staff for their continued efforts in enabling  us  to
report these good results.



Sir Alan Thomas
Chairman
23 November 2009



Consolidated income statement for the six months ended 30 September 2009 (unaudited)

                                                                      Six months        Six months            Year
                                                                           ended             ended           ended
                                                                    30 September      30 September        31 March
                                                                            2009              2008            2009
                                                           Note            £'000             £'000           £'000
                                                                   --------------------------------------------------

 Revenue                                                   2             156,257           151,558         318,970

 Cost of sales
        Sub-consultant costs                                             (22,026)          (24,425)        (49,067)
        Other operating costs                                            (94,203)          (87,193)       (190,499)

                                                                   --------------------------------------------------
 Gross profit                                                             40,028            39,940          79,404

 Administration expenses                                                 (33,231)          (33,210)        (74,396)
---------------------------------------------------------------------------------------------------------------------

 Group operating profit                                    2               6,797             6,730           5,008
                                                                   --------------------------------------------------

---------------------------------------------------------------------------------------------------------------------
 Analysed as:

 EBITA (Pre-exceptional items)                                             8,828             8,936          18,117

 Amortisation of intangible assets
 - Software                                                                 (694)             (620)         (1,289)
 - Business combinations                                                  (1,337)           (1,586)         (3,241)
 Exceptional items                                                             -                 -          (8,579)

                                                                   --------------------------------------------------
 Group operating profit                                    2               6,797             6,730           5,008
                                                                   --------------------------------------------------

---------------------------------------------------------------------------------------------------------------------

 Finance costs                                             3              (1,219)           (1,255)         (2,129)
 Finance income                                            3                  88               198             333
                                                                   --------------------------------------------------

 Profit before taxation                                                    5,666             5,673           3,212

 Taxation                                                                   (969)             (607)            291
                                                                    --------------------------------------------------

 Profit for the period                                                     4,697             5,066           3,503
                                                                    --------------------------------------------------
                                                                    --------------------------------------------------

 Profit attributable to equity holders of the parent                       4,697             5,066           3,503

----------------------------------------------------------------------------------------------------------------------

 Earnings per share (pence)
 Basic                                                     4               12.26             13.18            9.12
 Diluted                                                   4               12.20             13.14            9.10
----------------------------------------------------------------------------------------------------------------------

 Equity - Ordinary 10p shares
 Dividends (£'000) - Paid                                  5               1,172               789           1,295
 Dividend per share (pence)                                5                3.15              2.10            3.45
----------------------------------------------------------------------------------------------------------------------
 Dividends (£'000) - Proposed                                                557               509           1,172
 Dividend per share (pence)                                5                1.50              1.35            3.15

 All activities are continuing.
 Adjusted earnings per share is disclosed in Note 4.



 Consolidated statement of comprehensive income (unaudited)
                                                                    Six months          Six months               Year
                                                                         ended               ended              ended
                                                                  30 September        30 September           31 March
                                                                          2009                2008               2009
                                                                         £'000               £'000              £'000
                                                                   --------------------------------------------------

 Profit for the period                                                   4,697               5,066              3,503

 Other comprehensive (expense) / income for the period
 Exchange adjustments                                                   (2,224)              1,507             12,250
 Cash flow hedges recognised                                                79                  44               (506)
 Actuarial (loss) /gain on defined benefit pension schemes              (3,860)              2,362             (6,242)
 Deferred taxation on actuarial loss / (gain)                            1,071                (661)             1,644
                                                                   --------------------------------------------------

 Total other comprehensive (expense) / income for the period            (4,934)              3,252              7,146
                                                                   --------------------------------------------------

 Total  comprehensive  (expense) / income  for  the  period
 attributable to equity shareholders                                      (237)              8,318             10,649
                                                                   --------------------------------------------------
                                                                   --------------------------------------------------

 Consolidated   statement   of   changes   in    equity
 (unaudited)

                                                  Share     Share  Retained     Other              Minority
                                                capital   premium  earnings  reserves      Total  interests     Total
                                                  £'000     £'000     £'000     £'000      £'000      £'000     £'000
----------------------------------------------------------------------------------------------------------------------

 At 1 April 2008                                  3,770    28,667    15,939     1,332     49,708         26     49,734
 New shares issued                                    3         -         -         -          3          -          3
 Premium on new shares issued                         -        88         -         -         88          -         88
 Profit for the period                                -         -     5,066         -      5,066          -      5,066
 Dividends paid                                       -         -      (789)        -       (789)         -       (789)
 Actuarial  gains on defined benefit  pension
  schemes                                             -         -     2,362         -      2,362          -      2,362
 Deferred tax on actuarial gains                      -         -      (661)        -       (661)         -       (661)
 Share option charges                                 -         -        89         -         89          -         89
 Cash flow hedges recognised                          -         -         -        44         44          -         44
 Incentives granted in the period                     -         -         -      (298)      (298)         -       (298)
 ESOP reserve charge                                  -         -         -       122        122          -        122
 Exchange adjustments                                 -         -         -     1,507      1,507          -      1,507
                                                 ----------------------------------------------------------------------

 At 30 September 2008                             3,773    28,755    22,006     2,707     57,241         26     57,267
 New shares issued                                    3         -         -         -          3          -          3
 Premium on new shares issued                         -        85         -         -         85          -         85
 Loss for the period                                  -         -    (1,563)        -     (1,563)         -     (1,563)
 Dividends paid                                       -         -      (506)        -       (506)         -       (506)
 Actuarial losses on defined benefit  pension
  schemes                                             -         -    (8,604)        -     (8,604)         -     (8,604)
 Deferred tax on actuarial losses                     -         -     2,305         -      2,305          -      2,305
 Share option charges                                 -         -       (79)        -        (79)         -        (79)
 Deferred tax on share option charges                 -         -        (3)        -         (3)         -         (3)
 Cash flow hedges recognised                          -         -         -      (550)      (550)         -       (550)
 Incentives granted in period                         -         -         -      (355)      (355)         -       (355)
 ESOP reserve charge                                  -         -         -       103        103          -        103
 Exchange adjustments                                 -         -         -    10,743     10,743          4     10,747
                                                 ----------------------------------------------------------------------

 At 31 March 2009                                 3,776    28,840    13,556    12,648     58,820         30     58,850
 New shares issued                                    1         -         -         -          1          -          1
 Premium on new shares issued                         -        20         -         -         20          -         20
 Profit for the period                                -         -     4,697         -      4,697          -      4,697
 Dividends paid                                       -         -    (1,172)        -     (1,172)         -     (1,172)
 Actuarial losses on defined benefit  pension
  schemes                                             -         -    (3,860)        -     (3,860)         -     (3,860)
 Deferred tax on actuarial losses                     -         -     1,071         -      1,071          -      1,071
 Share option charges                                 -         -        12         -         12          -         12
 Cash flow hedges recognised                          -         -         -        79         79          -         79
 Incentives granted in period                         -         -         -       (84)       (84)         -        (84)
 ESOP reserve charge                                  -         -         -       207        207          -        207
 Exchange adjustments                                 -         -         -    (2,224)    (2,224)         -     (2,224)
                                                 ----------------------------------------------------------------------

 At 30 September 2009                             3,777    28,860    14,304    10,626     57,567         30     57,597
                                                 ----------------------------------------------------------------------
                                                 ----------------------------------------------------------------------


 Consolidated statement of financial position for the six months ended 30 September 2009 (unaudited)

                                                                         As at             As at           As at
                                                                            30                30              31
                                                                     September         September           March
                                                                          2009              2008            2009
                                                           Note          £'000             £'000           £'000
                                                                   --------------------------------------------------
 Non-current assets
 Intangible assets                                         8            44,277            42,987          46,728
 Property, plant and equipment                             8            11,496            12,825          13,477
 Deferred tax assets                                                    13,886             7,531          12,240
                                                                    --------------------------------------------------
                                                                        69,659            63,343          72,445
                                                                    --------------------------------------------------
 Current assets
 Trade and other receivables                                           128,134           113,770         138,139
 Corporation tax recoverable                                               498             1,066           1,611
 Cash and cash equivalents                                              14,120            17,230          18,129
                                                                    --------------------------------------------------
                                                                       142,752           132,066         157,879
                                                                    --------------------------------------------------
 Current liabilities
 Trade and other payables                                              (74,760)          (74,775)        (93,788)
 Current tax liabilities                                                (2,885)           (1,110)         (1,742)
 Borrowings                                                             (3,606)           (2,387)         (2,512)
 Provisions                                                6            (5,045)           (2,830)         (8,588)
                                                                    --------------------------------------------------
                                                                       (86,296)          (81,102)       (106,630)
                                                                    --------------------------------------------------

                                                                    --------------------------------------------------
 Net current assets                                                     56,456            50,964          51,249
                                                                    --------------------------------------------------
 Non-current liabilities
 Borrowings                                                            (26,718)          (23,495)        (21,346)
 Retirement benefit obligations                            9           (33,988)          (25,077)        (34,520)
 Provisions                                                6            (1,271)             (328)         (1,748)
 Deferred tax liabilities                                               (3,671)           (3,729)         (4,316)
 Other non-current liabilities                                          (2,870)           (4,411)         (2,914)
                                                                    --------------------------------------------------
                                                                       (68,518)          (57,040)        (64,844)
                                                                    --------------------------------------------------

                                                                    --------------------------------------------------
 Net assets                                                             57,597            57,267          58,850
                                                                    --------------------------------------------------
                                                                    --------------------------------------------------
 Equity
 Called up ordinary share capital                                        3,777             3,773           3,776
 Share premium                                                          28,860            28,755          28,840
 Retained earnings                                                      14,304            22,006          13,556
 Other reserves                                                         10,626             2,707          12,648
                                                                    --------------------------------------------------
 Equity attributable to equity holders of the parent                    57,567            57,241          58,820
 Minority interest                                                          30                26              30

                                                                   --------------------------------------------------
 Total equity                                                           57,597            57,267          58,850
                                                                   --------------------------------------------------
                                                                   --------------------------------------------------


 Consolidated cash flow statement (unaudited)

                                                                  Six months         Six months         Year ended
                                                                    ended 30           ended 30           31 March
                                                                   September          September
                                                                        2009               2008               2009
                                                        Note           £'000              £'000              £'000
                                                                -----------------------------------------------------
 Cash flows from operating activities
 Cash (used in) / generated from operations             7(a)          (5,532)             8,473             19,535
 Interest received                                                        88                198                333
 Interest paid                                                          (594)              (844)            (1,546)
 Taxation paid                                                          (430)              (527)            (2,850)
                                                                -----------------------------------------------------
 Net  cash  (used  in)  /  generated  from  operating
  activities                                                          (6,468)             7,300             15,472
                                                                -----------------------------------------------------
 Cash flows from investing activities
 Deferred and contingent consideration paid                           (1,033)                 -             (3,361)
 Acquisition of subsidiaries (net of cash acquired)                        -               (257)                 -
 Proceeds  from  disposal of property, plant  and  equipment
  (incl. software)                                                       421                194                264
 Purchase  of  property, plant and  equipment  (incl.
  software)                                                           (1,452)            (4,102)            (6,759)
                                                      ---------------------------------------------------------------

 Net cash used in investing activities                                (2,064)            (4,165)            (9,856)
                                                                -----------------------------------------------------

 Cash flows from financing activities
 Proceeds on issue of shares                                               5                 67                 99
 Employee trust purchase of own shares                                   (84)              (299)              (654)
 Repayments of obligations under finance leases                         (290)              (686)            (1,854)
 Proceeds on issue of new borrowings                                  18,813             13,322             30,807
 Repayment of borrowings                                             (12,780)           (12,896)           (32,130)
 Dividends paid                                         5             (1,172)              (789)            (1,295)
                                                                -----------------------------------------------------

 Net  cash  generated  from  /  (used  in)  financing
  activities                                                           4,492             (1,281)            (5,027)
                                                                -----------------------------------------------------

 Effects  of  exchange rate fluctuations on  cash  and  cash
  equivalents                                                             31                553              2,717
                                                                -----------------------------------------------------

 Net   (decrease)  /  increase  in  cash   and   cash
  equivalents                                                         (4,009)             2,407              3,306
                                                                -----------------------------------------------------

 Cash and cash equivalents at 1 April                                 18,129             14,823             14,823

                                                                -----------------------------------------------------
 Cash and cash equivalents at period end                              14,120             17,230             18,129
                                                                -----------------------------------------------------
                                                                -----------------------------------------------------

1.  General information

(a) Basis of preparation

This  condensed unaudited consolidated financial information for the half year ended 30 September  2009  has  been
prepared in accordance with the Disclosure and Transparency Rules of the Financial Services Authority and with IAS
34,  "Interim  financial  reporting" as adopted by the European Union (EU).  The half year condensed  consolidated
financial  report should be read in conjunction with the annual financial statements for the year ended  31  March
2009, which have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by
the EU.

The  condensed consolidated half yearly financial statements have been prepared in accordance with IFRS as adopted
by  the EU, and those parts of the Companies Act 2006 related to reporting under IFRS that the Directors expect to
be  applicable  as  at  31  March  2010.   IFRS are subject to amendment or interpretation  by  the  International
Accounting  Standards  Board  and there is an ongoing process of review and endorsement  by  the  EU.   For  these
reasons, it is possible that the information presented in this report may be subject to change.

The  preparation of financial statements in conformity with generally accepted accounting principles requires  the
use  of  estimates and assumptions that affect the reported amounts of assets and liabilities at the date  of  the
financial statements and the reported amounts of revenues and expenses during the reported period.  Although these
estimates are based on management's best knowledge of the amount, events or actions, actual results ultimately may
differ from those estimates.

The  financial  information  does not constitute statutory accounts within the  meaning  of  section  434  of  the
Companies Act 2006.  The financial information relating to the year ended 31 March 2009 has been delivered to  the
Registrar  of  Companies.  The report of the auditors on these accounts was unqualified  and  did  not  contain  a
statement under Section 237(2) or (3) of the Companies Act 1985.

(b) Principal accounting policies

The accounting policies adopted are consistent with those of the annual financial statements for the year ended 31
March  2009, as described in those financial statements, with the exception of the changes in accounting  policies
noted below.

The   Group's   significant   accounting   policies  under  IFRS  are   available   on   the   corporate   website
www.hyderconsulting.com within the "Investors" section.

IAS  1  (revised  2007) has been applied in the preparation of these condensed consolidated financial  statements.
The  revised standard requires the presentation of a statement of changes in equity in the primary statements with
the  information previously disclosed in a movements in equity note in the financial statements.  In addition  the
Group  has  elected  to present a separate income statement and statement of comprehensive  income.   The  revised
standard  also  suggests  certain changes in terminology which have been adopted in these  condensed  consolidated
financial  statements.  The balance sheet has been renamed statement of financial position and  the  statement  of
recognised income and expense has been renamed statement of comprehensive income.

IFRS 8 replaces IAS 14 Segment Reporting.  Under IFRS 8 the Group's operating segments are identified on the basis
of internal reports that are regularly reviewed by the chief operating decision maker to assess the performance of
the  Group's components, which are organised based on the geographic location of services that the Group provides.
The Group has assessed the revised requirements of IFRS 8 and concluded that no material change in segmentation is
required.

(c) Exceptional items

Following a review by the Board, in the current period redundancy and other one off costs amounting to £1.7m  have
been  charged  to operating profit. In the 30 September 2008 half year report and the 31 March 2009 annual  report
redundancy costs classified as exceptional items amounting to £560,000, have been reclassified to operating  costs
in  this  half year report. Adjusted operating profit and earnings per share have been restated as a result  (Note
4).


 2. Segmental analysis by location of operations

 Reflecting  the  Group's management and internal reporting structure, primary segmental information  is  presented
 within  the financial statements in respect of geographical segments.  The Group manages its business on a  global
 basis with operations in five main geographical regions, UK, Europe, Australia, Asia and the Middle East.  The  UK
 is the home country of the parent.  Inter-segment revenue relates to contracts priced on an arm's length basis.

 The Group's revenue is derived from the provision of engineering consultancy services.

 (a) Segment revenue
                                                           Inter-             Six       Six months             Year
                                                          segment          months            ended            ended
                                                          revenue           ended               30         31 March
                                                                               30        September
                                                                        September
                                              2009           2009            2009             2008             2009
                                             £'000          £'000           £'000            £'000            £'000
                                        ------------------------------------------------------------------------------

 Australia                                  36,255           (281)         35,974           35,171           63,748
 Asia                                        9,051            (43)          9,008            7,757           20,087
 Asia Pacific                               45,306           (324)         44,982           42,928           83,835

 Middle East                                52,325         (1,639)         50,686           43,679          106,920

 UK                                         46,927           (220)         46,707           52,557          103,306
 Germany                                    14,954         (1,072)         13,882           12,394           24,909
 UK / Europe                                61,881         (1,292)         60,589           64,951          128,215
                                        ------------------------------------------------------------------------------
                                           159,512         (3,255)        156,257          151,558          318,970
                                        ------------------------------------------------------------------------------
                                        ------------------------------------------------------------------------------
 (b) Segment results

 Regional   operating
 profit

 Australia                                                                  4,464            2,096            3,187
 Asia                                                                         434              420            1,285

                                                                       -----------------------------------------------
 Asia Pacific                                                               4,898            2,516            4,472

 Middle East                                                                3,677            3,600            8,317

 UK                                                                         1,160            3,330            7,111
 Germany                                                                     (159)             911              635

                                                                       -----------------------------------------------
 UK / Europe                                                                1,001            4,241            7,746

 Corporate overheads                                                       (1,442)          (2,041)          (3,707)
                                                                       -----------------------------------------------

 Group  adjusted  operating  profit                                         8,134            8,316           16,828

 Amortisation on business combinations                                     (1,337)          (1,586)          (3,241)

 Exceptional items                                                              -                -           (8,579)

                                                                       -----------------------------------------------

 Group operating profit                                                     6,797            6,730            5,008
                                                                       -----------------------------------------------
                                                                       -----------------------------------------------
 (c) Total assets
                                                                              Six       Six months             Year
                                                                           months            ended            ended
                                                                            ended               30         31 March
                                                                               30        September
                                                                        September
                                                                             2009             2008             2009
                                                                            £'000            £'000            £'000
                                                                       -----------------------------------------------
 Australia                                                                 37,219           33,066           32,768
 Asia                                                                      18,810           13,884           18,847

                                                                       -----------------------------------------------
 Asia Pacific                                                              56,029           46,950           51,615

 Middle East                                                               74,920           68,990           93,922

 UK                                                                        51,091           54,497           50,288
 Germany                                                                   30,371           24,972           34,499

                                                                       -----------------------------------------------
 UK / Europe                                                               81,462           79,469           84,787
                                                                       -----------------------------------------------
                                                                          212,411          195,409          230,324
                                                                       -----------------------------------------------
                                                                       -----------------------------------------------
 3. Net finance costs

                                                                  Six months         Six months               Year
                                                                    ended 30           ended 30              ended
                                                                   September          September           31 March
                                                                        2009               2008               2009
                                                                       £'000              £'000              £'000
                                                              --------------------------------------------------------
 Bank borrowings                                                        (365)              (678)            (1,377)
 Interest expense on tax balances                                          -                  -                (22)
 Finance leases                                                         (132)              (100)              (148)
 Unwinding of discounts in provisions                                    (98)               (10)               (20)
 Unwinding   of   discounts  in  deferred  and   contingent
  consideration                                                         (100)              (306)              (314)
 Net finance cost on pension scheme                                     (524)              (161)              (248)
                                                              --------------------------------------------------------
 Finance costs                                                        (1,219)            (1,255)            (2,129)
                                                              --------------------------------------------------------
 Investment interest income                                               62                159                268
 Interest income received on tax refunds                                  26                 39                 65
                                                              --------------------------------------------------------
 Finance income                                                           88                198                333
                                                              --------------------------------------------------------
 Net finance costs                                                    (1,131)            (1,057)            (1,796)
                                                              --------------------------------------------------------
                                                              --------------------------------------------------------

 4. Earnings per share

 (a) Number of shares

                                                                  Six months         Six months               Year
                                                                       ended              ended              ended
                                                                30 September       30 September           31 March
                                                                        2009               2008               2009
                                                              -----------------  -----------------  ------------------
 Weighted average number of shares in issue                       38,316,108         38,419,741         38,405,272
 Effect of dilution
 Share options                                                       172,525            123,405            103,232

                                                              -----------------  -----------------  ------------------
 Weighted average shares (diluted)                                38,488,633         38,543,146         38,508,504
                                                              -----------------  -----------------  ------------------

 (b) Earnings used in the calculation of earnings per share

                                                                  Six months         Six months               Year
                                                                       ended              ended              ended
                                                                30 September       30 September           31 March
                                                                        2009               2008               2009
                                                                       £'000              £'000              £'000
                                                              -----------------  -----------------  ------------------
 Profit attributable to equity shareholders                            4,697              5,066              3,503

 Add back exceptional items                                                -                  -              8,579
 Add  back  amortisation of intangible assets  on  business
  combinations                                                         1,337              1,586              3,241
 Less tax on adjusted items                                             (243)              (357)            (2,302)
                                                              -----------------  -----------------  ------------------
 Adjusted earnings                                                     5,791              6,295             13,021
                                                              -----------------  -----------------  ------------------
                                                              -----------------  -----------------  ------------------

 (c) Earnings per share

                                                                  Six months         Six months               Year
                                                                       ended              ended              ended
                                                                30 September       30 September           31 March
                                                                        2009               2008               2009
                                                                       Pence              Pence              Pence
                                                              -----------------  -----------------  ------------------
 Basic earnings per share                                              12.26              13.18               9.12

 Add back exceptional items                                                -                  -              22.34
 Add  back  amortisation of intangible assets and  business
  combinations                                                          3.49               4.13               8.44
 Add back tax on adjusted items                                        (0.64)             (0.93)             (5.99)
                                                              -----------------  -----------------  ------------------
 Adjusted basic earnings per share                                     15.11              16.38              33.91
                                                              -----------------  -----------------  ------------------
                                                              -----------------  -----------------  ------------------

                                                                  Six months         Six months               Year
                                                                       ended              ended              ended
                                                                30 September       30 September           31 March
                                                                        2009               2008               2009
                                                                       Pence              Pence              Pence
                                                              -----------------  -----------------  ------------------
 Diluted earnings per share                                            12.20              13.14               9.10

 Add back exceptional items                                                -                  -              22.28
 Add  back  amortisation of intangible assets and  business
  combinations                                                          3.47               4.11               8.42
 Add back tax on adjusted items                                        (0.63)             (0.92)             (5.98)
                                                              -----------------  -----------------  ------------------
 Adjusted diluted earnings per share                                   15.04              16.33              33.82
                                                              -----------------  -----------------  ------------------
                                                              -----------------  -----------------  ------------------

 5. Dividends

                                                                 Six months          Six months                Year
                                                                   ended 30            ended 30               ended
                                                                  September           September            31 March
                                                                       2009                2008                2009
                                                                      £'000               £'000               £'000
                                                              --------------------------------------------------------
 Dividends charged to equity in the period                            1,172                 789               1,295
                                                              -----------------  -----------------  ------------------
                                                              -----------------  -----------------  ------------------
 Equity - Per Ordinary 10p share
   Final dividend paid (pence)                                         3.15                2.10                2.10
   Interim dividend paid (pence)                                          -                   -                1.35


 The  directors  are proposing an interim dividend of 1.5p pence per share (2008: 1.35 pence). In  accordance  with
 IFRS the dividend has not been recognised in the financial statements but if approved by shareholders will be paid
 on 13 January 2010 to shareholders on the register as at 11 December 2009.




 6. Provisions

                                                Restructuring       Professional           Vacant             Total
                                                                       indemnity         property
                                                                       insurance
                                                        £'000              £'000            £'000             £'000
                                              ------------------------------------------------------------------------

 At 1 April 2009                                        2,859              2,797            4,680            10,336
 Exchange adjustments                                     (95)              (152)             (38)             (285)
 Charged to the Income Statement                        2,017              1,368              316             3,701
 Utilised   /   released  to  the   Income
  Statement                                            (3,607)            (1,190)          (2,737)           (7,534)
 Amortisation of discount                                   -                  -               98                98
                                              ------------------------------------------------------------------------

 At 30 September 2009                                   1,174              2,823            2,319             6,316
                                              ------------------------------------------------------------------------
                                              ------------------------------------------------------------------------

 At 30 September 2009
 Current liabilities                                    1,174              2,823            1,048             5,045
 Non-current liabilities                                    -                  -            1,271             1,271
                                              ------------------------------------------------------------------------

                                                        1,174              2,823            2,319             6,316
                                              ------------------------------------------------------------------------
                                              ------------------------------------------------------------------------

 At 30 September 2008
 Current liabilities                                        -              2,778               52             2,830
 Non-current liabilities                                    -                  -              328               328
                                              ------------------------------------------------------------------------

                                                            -              2,778              380             3,158
                                              ------------------------------------------------------------------------
                                              ------------------------------------------------------------------------

 At 31 March 2009
 Current liabilities                                    2,859              2,797            2,932             8,588
 Non-current liabilities                                    -                  -            1,748             1,748
                                              ------------------------------------------------------------------------

                                                        2,859              2,797            4,680            10,336
                                              ------------------------------------------------------------------------
                                              ------------------------------------------------------------------------


Restructuring

The provision represents redundancy costs that have not been paid out at the period end.

Professional indemnity insurance

The  provision  reflects  management's  estimate of the likely cost of  claims  including  professional  indemnity
insurance  excesses  and  has  been provided in accordance with Group policy.  These provisions  will  be  carried
forward until the claims to which they relate are agreed and amounts utilised or released as appropriate.

Vacant property

The  provision  represents the estimated net present value of future rentals where properties are  vacant.   These
provisions  will  be utilised up until such time as the vacant properties are re-let (when the requirement  for  a
provision will be reassessed), or the lease terminates, whichever occurs earlier.

 7. Notes to the consolidated cash flow statement

 (a) Cash flows from operating activities
                                                                               Six months    Six months         Year
                                                                                    ended         ended        ended
                                                                                       30            30     31 March
                                                                                September     September
                                                                                     2009          2008         2009
                                                                                    £'000         £'000        £'000
                                                                            ------------------------------------------

 Profit for the financial period                                                    4,697         5,066        3,503
 Adjustments for:
 Taxation                                                                             969           607         (291)
 Depreciation                                                                       2,009         1,477        3,410
 Loss on disposal of property, plant and equipment                                    649            20           57
 Amortisation - Software                                                              694           620        1,289
 Amortisation - Business Combinations                                               1,337         1,586        3,241
 Interest receivable                                                                  (88)         (198)        (333)
 Interest payable and similar charges                                               1,219         1,255        2,129
 Fair value (gain) / loss on financial instruments                                   (199)           77          239
 Share option costs                                                                   217           236          323
 (Decrease) / increase in provisions                                               (4,020)         (246)       7,039
 Defined benefit scheme charges                                                     1,350         1,923        4,877
 Pension scheme curtailments                                                            -             -         (766)
 Contributions to defined benefit schemes                                          (5,609)       (2,469)      (5,080)
 Changes in working capital (excluding effects of acquisitions):
 Decrease  / (increase)  in  trade  and  other  receivables                         9,167       (10,978)     (32,522)
 (Decrease) / increase in trade and other payables                                (17,924)        9,497       32,420
                                                                            ------------------------------------------

 Cash (used in) / generated from operations                                        (5,532)        8,473       19,535
                                                                            ------------------------------------------
                                                                            ------------------------------------------

 (b) Reconciliation of movement in net debt

                                             At 30   At 1 April                  Non Cash      Exchange        At 30
                                         September                                                         September
                                              2008         2009    Cash flow     Movement      Movement         2009
                                             £'000        £'000        £'000        £'000         £'000        £'000
                                       -------------------------------------------------------------------------------

 Cash at bank                               17,230       18,129       (4,040)           -            31       14,120
                                       -------------------------------------------------------------------------------

 Debt due within 1 year                     (1,067)      (1,501)        (492)        (668)           36       (2,625)
 Debt due after 1 year                     (22,086)     (20,238)      (5,541)         289             -      (25,490)
 Finance leases due within 1 year           (1,320)      (1,011)         250         (187)          (33)        (981)
 Finance leases due after 1 year            (1,409)      (1,108)          40          (72)          (88)      (1,228)
                                       -------------------------------------------------------------------------------

                                           (25,882)     (23,858)      (5,743)        (638)          (85)     (30,324)
                                       -------------------------------------------------------------------------------

                                            (8,652)      (5,729)      (9,783)        (638)          (54)     (16,204)
                                       -------------------------------------------------------------------------------
                                       -------------------------------------------------------------------------------

 The cash at bank balance includes £2.6m that is restricted and not available to the Group for general use.

 8. Property, plant and equipment and intangible assets

                                                                                   Property,           Intangible
                                                                                   plant and               Assets
                                                                                   equipment
                                                                                       £'000                £'000
                                                                                -------------------------------------

 Net book value
 At 1 April 2008                                                                      11,142               45,452

 Exchange adjustments                                                                    (32)               1,585
 Additions                                                                             3,396                  872
 Disposals                                                                              (204)                  (6)
 Revaluation                                                                               -               (2,710)
 Depreciation and amortisation                                                        (1,477)              (2,206)
                                                                                -------------------------------------

 At 30 September 2008                                                                 12,825               42,987
 Exchange adjustments                                                                  1,113                6,371
 Additions                                                                             1,572                1,562
 Disposals                                                                              (100)              (5,127)
 Revaluation                                                                               -                3,259
 Depreciation and amortisation                                                        (1,933)              (2,324)
                                                                                -------------------------------------

 At 31 March 2009                                                                     13,477               46,728
 Exchange adjustments                                                                    143               (1,283)
 Additions                                                                               955                  863
 Disposals                                                                            (1,070)                   -
 Depreciation and amortisation                                                        (2,009)              (2,031)
                                                                                -------------------------------------

 At 30 September 2009                                                                 11,496               44,277
                                                                                -------------------------------------
                                                                                -------------------------------------

 9. Retirement benefit obligations

 Employees  of  the  Group  participate in a number of pension schemes both in the UK and overseas.   The  principal
 scheme  in  the  UK  is the Acer Group Pension Scheme (AGPS) which is a defined benefit scheme.   The  Group's  net
 liabilities in respect of retirement benefits comprise the following:

                                                                      As at 30           As at 30           As at 31
                                                                     September          September              March
                                                                          2009               2008               2009
                                                                         £'000              £'000              £'000
                                                              -----------------  -----------------  ------------------
 AGPS and unfunded Annuitants scheme                                    27,443             19,922             27,178
 Overseas schemes                                                        6,545              5,155              7,342
                                                              -----------------  -----------------  ------------------
                                                                        33,988             25,077             34,520
                                                              -----------------  -----------------  ------------------
                                                              -----------------  -----------------  ------------------

 AGPS and Annuitants scheme                                           As at 30           As at 30           As at 31
                                                                     September          September              March
 The key assumptions used were:                                           2009               2008               2009
                                                              -----------------  -----------------  ------------------
 Rate of increase in salaries                                            3.40%              3.70%              3.20%
 Rate  of  increase to  pensions  in  payment:
   - Index linked pensions with max 3% per annum increases               2.60%              3.00%              3.00%
   - Other index linked pension                                          3.40%              3.70%              3.20%
 Discount rate                                                           5.60%              6.50%              6.50%
 Inflation assumptions                                                   3.40%              3.70%              3.20%
 Longevity  at  age 65  for  current  pensioners
   - Men                                                            22.0 years         21.9 years         22.0 years
   - Women                                                          23.9 years         23.8 years         23.9 years
 Longevity  at  age  65  for  future  pensioners
   - Men                                                            23.9 years         23.8 years         23.9 years
   - Women                                                          25.8 years         25.7 years         25.8 years


 The amounts included in the consolidated statement of
 financial position for the AGPS and Annuitants scheme are 
 as follows:
                                                                      As at 30           As at 30           As at 31
                                                                     September          September              March
                                                                          2009               2008               2009
                                                                         £'000              £'000              £'000
                                                              -----------------  -----------------  ------------------
 At 1 April                                                            (27,178)           (23,159)           (23,159)
 Current service costs                                                    (626)              (740)            (1,395)
 Notional   interest   on    pension
  liability                                                             (3,269)            (3,368)            (6,814)
 Expected return on plan assets                                          2,753              3,207              6,542
 Contributions by employers                                              4,705              1,767              3,522
 Actuarial gains / (losses) due to:
 - Assets                                                               12,582              7,526            (18,909)
 - Liabilities                                                         (16,409)            (5,155)            13,035
                                                              -----------------  -----------------  ------------------
 Deficit in AGPS and Annuitants scheme                                 (27,443)           (19,922)           (27,178)
                                                              -----------------  -----------------  ------------------
 Related deferred tax asset                                              5,822              4,217              5,866
                                                              -----------------  -----------------  ------------------
 Net pension deficit                                                   (21,621)           (15,705)           (21,312)
                                                              -----------------  -----------------  ------------------
                                                              -----------------  -----------------  ------------------

10. Contingent liabilities

The  Group  maintains  professional indemnity insurance against claims for professional negligence  which  in  the
ordinary  course of business have been, or may in the future be, received.  The Directors assess  each  claim  and
make  provision  for legal and settlement costs where, on the basis of advice received, it is  considered  that  a
liability may exist.

Hyder  Consulting  PLC and various Group companies have entered into performance guarantees and performance  bonds
supporting  project requirements and certain other bonds and guarantees in the ordinary course of  business.   The
Group's liabilities under performance guarantees are only limited to the extent of the underlying contracts.   The
Directors do not consider any provision is necessary in respect of guarantees and bonds.


11. Cautionary statement

This  half yearly financial report has been prepared solely for the Company's members, as a body.  The report  may
contain certain forward-looking statements with respect to the financial condition, performance, results, strategy
and  objectives,  operations  and  businesses of the Group. By their nature these statements  involve  uncertainty
because  they  relate to future events and circumstances which are beyond the Group's control.  As  a  result  the
Group's  actual  future  financial condition, performance and results may differ  materially  from  the  plans  or
expectations in any forward-looking statement. The Company assumes no obligation to update or revise any  forward-
looking  statement, resulting from new information, future events or otherwise.  Nothing in this half year  report
should be construed as a profit forecast.


12. Further information

An electronic version of this half yearly financial report and 31 March 2009 financial statements can be viewed on
the corporate web site: www.hyderconsulting.com.


Statement of Directors' Responsibilities

The  Directors  confirm that to the best of their knowledge this condensed set of financial  statements  has  been
prepared in accordance with IAS 34 as adopted by the European Union, and that the Interim Management Report herein
includes a fair review of the information required by DTR 4.2.7 and DTR 4.2.8.

As reported in the Hyder Consulting PLC Annual Report and Financial Statements 2009, Mr Peter Morgan retired as  a
non-executive  director on 23 July 2009.  There have been no other changes to the Board of  directors  during  the
period   or  subsequently.   A  list  of  current  directors  is  maintained  on  the  Hyder  Consulting   website
www.hyderconsulting.com.


Independent review report to Hyder Consulting PLC


Introduction

We  have  been  engaged  by  the company to review the condensed set of financial statements  in  the  half-yearly
financial  report  for the six months ended 30 September 2009, which comprises the Consolidated income  statement,
the  Consolidated  statement  of  comprehensive income, the Consolidated  statement  of  changes  in  equity,  the
Consolidated  statement of financial position, the Consolidated cash flow statement, and related  notes.  We  have
read  the  other information contained in the half-yearly financial report and considered whether it contains  any
apparent  misstatements  or  material inconsistencies with the information  in  the  condensed  set  of  financial
statements.


Directors' responsibilities

The  half-yearly financial report is the responsibility of, and has been approved by, the directors. The directors
are  responsible for preparing the half-yearly financial report in accordance with the Disclosure and Transparency
Rules of the United Kingdom's Financial Services Authority.

As  disclosed  in note 1, the annual financial statements of the group are prepared in accordance  with  IFRSs  as
adopted  by  the European Union. The condensed set of financial statements included in this half-yearly  financial
report  has  been prepared in accordance with International Accounting Standard 34, "Interim Financial Reporting",
as adopted by the European Union.


Our responsibility

Our  responsibility is to express to the company a conclusion on the condensed set of financial statements in  the
half-yearly financial report based on our review. This report, including the conclusion, has been prepared for and
only  for the company for the purpose of the Disclosure and Transparency Rules of the Financial Services Authority
and  for  no  other purpose. We do not, in producing this report, accept or assume responsibility  for  any  other
purpose  or to any other person to whom this report is shown or into whose hands it may come save where  expressly
agreed by our prior consent in writing.


Scope of review

We  conducted  our review in accordance with International Standard on Review Engagements (UK and  Ireland)  2410,
'Review  of  Interim  Financial Information Performed by the Independent Auditor of  the  Entity'  issued  by  the
Auditing  Practices  Board for use in the United Kingdom. A review of interim financial  information  consists  of
making  enquiries, primarily of persons responsible for financial and accounting matters, and applying  analytical
and  other  review procedures. A review is substantially less in scope than an audit conducted in accordance  with
International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance  that
we  would  become aware of all significant matters that might be identified in an audit. Accordingly,  we  do  not
express an audit opinion.


Conclusion

Based  on  our  review,  nothing has come to our attention that causes us to believe that  the  condensed  set  of
financial  statements  in  the half-yearly financial report for the six months ended  30  September  2009  is  not
prepared,  in  all material respects, in accordance with International Accounting Standard 34 as  adopted  by  the
European Union and the Disclosure and Transparency Rules of the United Kingdom's Financial Services Authority.



PricewaterhouseCoopers LLP
Chartered Accountants
Bristol
23 November 2009

Contact Information

  • Hyder Consulting PLC