Engineering group Worley warned shareholders to expect a new dividend payout ratio because it wants to retain cash to support its transition to sustainable energy projects and make acquisitions, chief executive Chris Ashton said.

The company plans to pay dividends at the lower end of a new target payout ratio of between 50 per cent to 75 per cent over the medium term – compared with a payout ratio of 85 per cent in the latest half – as it tries to balance rewarding shareholders with putting cash back into its business.