Results for Announcement to the Marketfor the period ended 31 December 2011Name of EntityLEIGHTON HOLDINGS LIMITED† 6 months toDecember 2011$m6 months toDecember 2010$m% ChangeRevenue ‐ Group, joint ventures and associates 12,176.9 9,709.1 Up 25.4 %Revenue ‐ joint ventures and associates 2,007.7 2,338.5 Down 14.1 %Revenue 10,169.2 7,370.6 Up 38.0 %Profit / (loss) attributable to members of the parent entity 340.0 216.7 Up 56.9 %For a brief explanation of the figures reported above: refer to pages 3 to 31 of this document.Details Of <strong>Report</strong>ing PeriodCurrent reporting period† Six (6) months to 31 December 2011Previous corresponding period† Twelve (12) months to 30 June 2011† Leighton Holdings Limited obtained approval from the Australian Securities and Investments Commission (“ASIC”) to change its financialyear end date from 30 June to 31 December. As a result the current financial year of the Company is the 6 month period 1 July 2011 to 31December 2011. As such the amounts presented in the financial report are not entirely comparable. Effective 1 January 2012, the financialyears of the Company are for twelve month periods ending 31 December. The results for the 6 months to 31 December 2010 are presentedabove as the comparable period.Dividends ‐ December 2011 Amount per security Franked amount per security<strong>Final</strong> dividend 60.0¢ nil nilKey Dividend DatesDateEx dividend date: 12 March 2012Record date for determining entitlements to the dividend: 16 March 2012Date for payment of dividend: 30 March 2012Dividends ‐ June 2011 Amount per security Franked amount per security<strong>Final</strong> dividend nil nil nilInterim dividend 60.0¢ 60.0¢ 100%Annual General Meeting DetailsDate 22 May 2012TimePlace10:00amGrand Ballroom, The Four Seasons Hotel, 199 George Street, SydneyApproximate date the Annual <strong>Report</strong> will be available Late March 2012Leighton Holdings LimitedAppendix 4E and Consolidated <strong>Preliminary</strong> <strong>Final</strong> <strong>Report</strong> for the Period Ended 31 December 2011 2
Commentary on the Resultsfor the period ended 31 December 2011Total revenue, including joint ventures and associates, for the 6 month transitional financial year from 1 July 2011 to 31December 2011 was $12.2 billion compared to $19.4 billion for the twelve month period to 30 June 2011. The major revenuegenerating markets for the Group were infrastructure $6.7 billion, resources $4.4 billion, property (including building work)$0.9 billion and Corporate $0.2 billion. The Group’s work in hand at 31 December 2011 was $44.6 billion. New work won,including variations and extensions to existing contracts, totalled $10.1 billion.For the 6 month transitional financial year from 1 July 2011 to 31 December 2011, the Leighton Group reported a net profitafter tax and minority interests of $340 million. This represents a significant turnaround from the $409 million net loss after taxand minority interests reported for the twelve month financial year ended 30 June 2011. The main factors contributing to thepositive net profit result were: a strong operating performance, largely driven by improved earnings from the Group’soperations in Australia and Asia; an after tax gain of $167 million from the sale of HWE Mining’s iron ore operation in thePilbara, WA, to BHP Billiton Iron Ore; offset by after tax impairments of $49 million for the Group’s deferred equitycommitment in BrisConnections and $50 million for the Group’s investment in the Habtoor Leighton Group.Leighton Contractors earned a segment result of $492 million before tax for the transitional financial year ($323 million for thetwelve month period to 30 June 2011). This was achieved on segment revenue of $3.6 billion. Both the result and revenuewere positively impacted by the sale of the HWE Mining Iron Ore business which had approx $1.2 billion of work in hand. TheHWE Mining iron ore entities and assets in the Pilbara, WA, were sold to BHP Billiton Iron Ore on 30 September 2011 for $452million resulting in a before tax gain of $229 million and an after tax gain of $167 million. Net assets reduced by $223 millionfollowing the sale. Leighton Contractors’ work in hand was $9.8 billion at 31 December 2011, compared to $10.8 billion at 30June 2011. The decrease was mostly due to the HWE sale. During the period, new contracts, extensions and variations totalled$3.7 billion.Thiess’ financial results continued to be impacted by the Victorian Desalination Project and the BrisConnections impairment,which masked strong performances from the bulk of its construction and contract mining operations. The VictorianDesalination Project made a loss of $218 million during the period (forecast loss at completion $496 million). Despite this,Thiess reported a segment result of $24 million before tax for the transitional financial year (loss $318 million for the twelvemonth period to 30 June 2011). Segment revenue was $3.8 billion. Thiess’ work in hand was $16.0 billion at 31 December2011, compared to $16.5 billion at 30 June 2011. During the period, new contracts, extensions and variations totalled $2.8billion.John Holland boosted its revenue and work in hand due to its unique position in a number of construction sectors, particularlyrail, water and civil infrastructure. John Holland, despite the impact of the BrisConnections impairment, earned a segmentresult of $25 million before tax for the transitional financial year (loss $255 million for the twelve month period to 30 June2011). This was achieved on segment revenue of $2.4 billion. John Holland’s work in hand was $6.9 billion at 31 December2011, compared to $7.7 billion at 30 June 2011. During the period, new contracts, extensions and variations totalled $1.6billion.The operations of Leighton Asia, Leighton Welspun India and Leighton Offshore now report through a single segment ‐ LeightonAsia, India & Offshore (“LAIO”). LAIO earned a segment result of $135 million before tax for the transitional financial year ($369million for the twelve month period to 30 June 2011). This was achieved on segment revenue of $1.4 billion. LAIO’s work inhand rose to $8.2 billion at 31 December 2011, up 9% compared to $7.5 billion at 30 June 2011. During the period, newcontracts, extensions and variations totalled $1.7 billion.The operations of the Habtoor Leighton Group (“HLG”) and Leighton Africa now report through a single segment, LeightonMiddle East & Africa (“LMEA”). LMEA reported a disappointing segment loss of $154 million before tax for the transitionalfinancial year (loss of $492 million for the twelve month period to 30 June 2011). The loss was mainly attributable to theoperating loss and impairment of HLG. Segment revenue for the transitional financial year was $330 million. LMEA’s work inhand rose to $2.3 billion at 31 December 2011, up 10% compared to $2.1 billion at 30 June 2011. During the period, newcontracts, extensions and variations totalled $0.3 billion.Leighton Holdings LimitedAppendix 4E and Consolidated <strong>Preliminary</strong> <strong>Final</strong> <strong>Report</strong> for the Period Ended 31 December 2011 3