"We ask how this division can return to the track when it turns out that it is not on the road first. Although the value on a long-term basis can be argued, we have reduced to a neutral engineering engineer's uncertainty, it probably will not lead to a multiple re-ranking near the term, said Lloyd.
Analysts at Mackuarie Vealth Management labeled the result "disappointing" and "surprising" and suggested that Lendlease fight to find a buyer for an engineering division if offered for sale.
A senior banker said Lendlease should split the construction division, which includes an engineering deal and buy another repetitive company, such as GPT, which was once in a stable Lendlease.
"All this should be a catalyst to cover Lendrol's business again as a stable and secure revenue-generating operation," the banker said.
Lendlease also explained Monday the decision of chief executive officer Steve McCann to sell shares in the company at the beginning of September, from which he made about $ 6 million.
He sold shares at a price of $ 20.33 to $ 19.58 a share he used to "finance income tax and debt reduction," according to an ASKS statement released earlier this month.
Over the past three years, Mr. McCann has consistently sold a package of his actions to finance income tax liabilities and reduce debt.
Lendlease's spokesman said McCann had a limited window during which he could sell Lendlease shares – three six-month periods after semi-annual and year-long results, as well as an annual general meeting, which was reduced due to the purchase of shares.
"Lendley's Committee has the discretion to reduce it further," the spokesman said.
"Over the past three years, Mr. McCann has consistently sold a package of his shares to finance his income tax liabilities and reduced his debt." "
Mr. McCann still holds about 680,000 shares in Lendlease through direct actions and through actions assigned to him under the Lendlease Purchase Plan.
Spokesman added that Mr. McCann was also required to retain at least 150 percent of his total value of the package in the Lendlease campaign.
Advocacy Advisor Institutional Shareholding Services recommended investors to support all resolutions at the annual meeting of the company on Friday in a report issued Sunday and did not change its position.
Alan Goldin, director of the Australian shareholders association, said he would vote against the report on the admission to the meeting.
Although the provision "is not a good look", it should be taken in the context of global business, he said.
"In May, Lendlease was appointed as the new chief of engineering, Hans Drucker, and he obviously looked at projects and decided that additional provisions were needed," Goldin said.
"It's a huge company with a number of profitable divisions, but engineering issues are an incentive to slow down into stable investments with occasional revenue."
Carolin Cummins is a commercial property editor for The Sidnei Morning Herald.