Aggreko Lifts Dividend By 15%

Published in Company Comment on 2 August 2012

Dividends lifted to 8.28p per share.

Aggreko (LSE: AGK) announced a dividend increase of 15% in its first-half trading results of 2012 this morning. Revenue and trading profit increased by 15% and 25% respectively. Underlying revenue and trading profit were up 16% and 23%, and earnings per share increased by 30%.

The company, which supplies temporary power and temperature control solutions to the London Olympics and businesses all over the world, said that while it was being helped by the Olympics contract -- worth around £55 million -- underlying growth for Europe and the Middle East is patchy. However, continued growth is expected in the second half of the year from increases in power volumes and rates in North America.

Rupert Soames, chief executive, commented: "It's been a very successful six months. We substantially expanded our Latin American business with the acquisition of Poit Energia in Brazil; we have built a new temporary power plant in Mozambique, which, uniquely, is providing power both to both the South African and Mozambique utilities, and which will deliver revenues of over $200 million over the next two years; our order-book is at record levels; we have opened our new manufacturing facility in Scotland; and we have delivered what will be the world's largest contract for temporary power for a major sporting event, in the form of our work as the exclusive supplier of temporary power for the London Olympics."

"Looking ahead, we continue to believe that we will deliver another year of good growth in 2012, and we reiterate our previous guidance of fleet capital expenditure of around £415m."

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> Sonia does not own shares in Aggreko.

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AGKCommsDir 07 Nov 2012 , 11:13pm

As director of communications at Aggreko Plc (LON:AGK), I would like to clarify some recent discussion on our company on Motley Fool.
In our stock exchange statement ( ), we said that “we expect …. factors will impact our anticipated profits for the year by about 2.5%” this is a 2.5% drop in expectations NOT “a 2.5% decline in profit [for] this year” as mentioned recently in Motley Fool.
Before the announcement the publically available consensus full year forecast profit before tax for Aggreko for 2012 was broadly £375million. The RNS statement says that it will be ~2.5% lower than expectations NOT that Aggreko’s profits will be down 2.5% (FYI Aggreko’s profit before tax and amortisation in 2011 was ~£330million pounds).
I hope this clarifies the position

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