Aggreko, the leader in the supply of temporary power and temperature control equipment, has reported that its underlying group revenues increased 22% for the year ended December 31, 2011 and trading profit up 26 per cent driven by good growth from both international power projects and local business.
The rental provider of power generation entered 2012 with a strong start of 21 per cent more power on hire than the prior year in international power projects and 14% more in the local business; the growth rate in both businesses has accelerated.
The group's profit before tax for FY 2011 was £327m, as compared to £307m in FY 2010 with a 10 per cent increase in dividend per share at 20.79p, as compared to 18.90p in 2010. It also reported a 21 per cent rise in its underlying revenues for local businesses, with an increase in trading profit by 15 per cent.
While commenting on the results, Chariman Philip Rogerson said: "I am pleased to report that Aggreko has delivered another strong performance in 2011, with underlying growth in revenues of 22 per cent and in trading profit of 26 per cent. The group also achieved solid headline growth despite the fact that 2010 was an extraordinary year for our revenues from major sporting events, with the FIFA World Cup, the Vancouver Winter Olympics and the Asian Games together accounting for about £87 million of revenue in 2010. The strength of our performance is a tribute to the breadth and diversity of the group and the continuing demand we see in all our key markets."
Given the strong start to the year, Aggreko is planning to increase the rate of investment in fleet, it now expects that its fleet capital expenditure in 2012 is likely to be about £30 million higher than it anticipated at the end of December, at around £350 million. It is confident that the business will deliver strong growth in the first half of 2012.