Financial Releases
Interim Management Statement
21 Oct 2011
Strong performance in the third quarter;
outlook for the year increased
Aggreko plc, the world leader in the supply of temporary power
and temperature control, is today issuing its Interim Management
Statement covering the period from 1 July 2011 to date.
Trading
Aggreko has delivered a strong performance in the third quarter.
On an underlying basis (in constant currency and excluding the
one-off impact of the FIFA World Cup as well as pass-through fuel),
revenue grew by 22%. Headline revenue increased by 13%.
Revenue in our International Power Projects business in constant
currency and excluding pass-through fuel grew by 26% in the third
quarter. Headline revenue increased by 20%. Order intake in the
year to date has been 944MW with 210MW added in the quarter,
including an additional 60MW in Kenya and 47MW in Brazil. Capacity
on hire at the end of the quarter was 21% ahead of the prior year.
Good progress has been made resolving the three overdue debtors
highlighted at the time of the interims and, as a result, there has
been a partial write back of the provisions taken in the first half
and we now expect that the trading margin in IPP for the year as a
whole will be a little higher than the prior year.
In the Local business, underlying revenue (in constant currency
and excluding the one-off impact of the FIFA World Cup) grew by 20%
in the third quarter. Headline revenue increased by 8%. Revenue in
North America grew by 10%, and in Europe & Middle East by 20%;
the Middle East business has recovered strongly and we have
recently signed our first sizeable contract with an industrial
company in Iraq, which we see as being an important market in the
future. On an underlying basis revenue in Aggreko
International’s Local business grew 41%, while on a headline
basis revenue was down 8% reflecting the impact of the FIFA World
Cup in the prior year. We expect underlying trading margin in the
Local business for the year as a whole to be similar to the prior
year.
Financial position
Net debt at £424 million has increased by £167
million in the three months to 30 September 2011, mainly as a
result of the return of capital to shareholders of £148
million that took place in July 2011.
Outlook
Although the prospects for the global economy remain uncertain,
the strength of our recent trading performance, and our view of the
prospects for the fourth quarter, mean that we now believe that pre
tax profits for the year will be at least £320 million. This
represents underlying growth in profits for the year of over
24%.
Rupert Soames, Chief Executive, said, “I am delighted to
see both our businesses producing underlying growth of 20% or more,
and we have good momentum going into the fourth quarter.”
There will be a conference call for analysts and investors at
8am. For dial-in details, please contact Sian Stanley on 020 7379
5151 or
sstanley@maitland.co.uk.
- ENDS -
Enquiries to:
Rupert Soames / Angus Cockburn
Aggreko plc
Tel. 0141 225 5900
Neil Bennett / Tom Eckersley
Maitland
Tel: 020 7379 5151