Financial Releases
Preliminary Results for the twelve months to 31 December 2008
05 Mar 2009
Aggreko plc, the world leader in the supply of temporary power and temperature control, announces its preliminary results for the twelve months to 31 December 2008.
| |
2008 post-
intangible asset
amortisation |
2008 pre-
intangible
asset amortisation |
2007 pre-
intangible
asset amortisation |
Movement pre- intangible asset amortisation |
| As reported |
Constant
Currency |
| Group revenue |
£946.6m |
£946.6m |
£693.2m |
36.6% |
26.2% |
| Trading profit (1) |
£200.6m |
£202.2m |
£134.2m |
50.6% |
37.4% |
| Profit before tax |
£190.0m |
£191.6m |
£125.5m |
52.6% |
|
| Earnings per share |
45.77p |
46.16p |
30.65p |
50.6% |
|
| Dividends per share |
10.08p |
10.08p |
8.06p |
25.0% |
|
(1) Trading profit represents operating profit before gain on sale of property, plant and equipment.
(2) All figures below are stated before amortisation of intangible assets arising from business combinations (2008: £1.6m pre-tax, £1.0m post-tax; 2007: £1.3m pre-tax, £0.9m post-tax) as management believe that the exclusion of such items provides a better comparison of business performance.
Highlights:
- Another set of record results
- Revenue increased by 37% (26% in constant currency)
- Trading profit up 51% (37% in constant currency)
- Earnings per share up 51%
- Return on capital employed up 2pp to 29%
- Dividends increased by 25% to 10.08p
- Local business revenue, in constant currency, increased by 18% and trading profit by 34%
- International Power Projects revenue, in constant currency and excluding fuel, increased by 44% and trading profit by 44%
- £256m invested in new fleet (2007: £172m)
- Successfully refinanced or replaced £160m of debt due in September 2009 with new facilities totalling £195m
- Interest cover 14x (2007 : 12x)
- Very strong start to 2009
- Outlook for 2009 well ahead of market expectations at current exchange rates
Philip Rogerson, Chairman, commented:
“In the face of the deteriorating global economic backdrop, Aggreko has proved very resilient, delivering another strong performance in 2008 with sharply increased revenue and profits as well as improved margins and returns on capital employed.”
“In terms of the outlook for 2009, we have made a very strong start to the year, well ahead of 2008, and expect to make good progress on both a headline and constant-currency basis in the first half. The outlook for the second half is less certain and will depend on how the macro-economic environment develops over the coming months. Our current judgement is that on a constant-currency basis, trading in 2009 should be at similar levels to 2008. Given that over 70% of our earnings are in US dollars, if we achieve this trading performance, and if the Sterling : US Dollar rate stays at today’s level for the rest of the year, reported results would show substantial growth over 2008.”
Rupert Soames, Chief Executive, commented:
“Aggreko delivered another strong performance in 2008. We made good progress against our strategy, and delivered excellent operating results, with impressive revenue growth as well as improved margins and returns on capital employed.”
“Amongst our Local businesses, our North American and European units performed well in the face of challenging economic conditions, while our operations in the Middle East, Asia, Australasia and Latin America continued to deliver good growth. Our International Power Projects business delivered an exceptional performance during the year, and in the fourth quarter, put on rent a record 300 MW of new power projects. The highlight was the faultless delivery of over 140 MW of temporary power and 480 kilometres of cable to 37 venues for the Beijing Olympics. This project was one of the largest temporary power contracts ever awarded, with people and equipment being deployed from around the world to support it.”
Regional performance metrics:
| |
Revenue millions |
Change |
Trading Profit millions* |
Change |
| |
2008 |
2007 |
% |
2008 |
2007 |
% |
| North America |
$386.2 |
$337.1 |
15% |
$85.6 |
$73.0 |
17% |
Europe |
£186.7 |
£167.9 |
11% |
£25.7 |
£21.4 |
20% |
International Local business |
$346.6 |
$233.1 |
49% |
$94.5 |
$49.6 |
91% |
International Power Projects excl fuel |
$524.1 |
$362.8 |
44% |
$143.6 |
$99.2 |
44% |
* Trading profit is before amortisation of intangible assets arising from business combinations
- ENDS -
Enquiries to:
| Rupert Soames / Angus Cockburn |
Tel. 0141 225 5900 |
| Aggreko plc |
|
 |
|
| Neil Bennett / George Hudson |
Tel: 020 7379 5151 |
| Maitland |
|
View the complete Preliminary Results document (PDF, 170 Kb).
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