Sales, marketing and support services group DCC Plc (LON:DCC) hailed a “strong first-half performance”.
Revenue from continuing operations in the six months to the end of September rose 15.4% to £1.86bn from £1.62bn the year before.
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The Retail & Oil division showed the greatest growth, with revenue rising by 33.5% to £56.3mln. The second largest division, Liquefied petroleum gas, saw revenue decline 7.2% to £40.9mln.
The Healthcare division’s revenue rose 22.2% to £26.9mln while the Technology division’s top-line rose 25% to £17.8mln.
The group’s profit before tax rose 17.2% to £85.9mln from £73.3 the year before, paving the way for a 10% hike in the interim dividend to 44.98p from 40.89p.
Acquisition-hungry company’s debt still rising
Net debt at the end of September had risen to £237.4mln from £112.3mln the year before after factoring in the £600mln raised through an equity placing last month.
“The business has performed strongly, with group operating profit well ahead of the prior year and trading across each division in line with expectations,” said Donal Murphy, the chief executive of DCC.
“DCC continues to be active from a development perspective. The recently completed acquisitions of Stampede and Jam further demonstrate DCC's increased opportunity set for development resulting from the group's increased geographic presence. The successful completion of the equity placing leaves DCC very well positioned to continue its development and enhances the balance sheet strength and liquidity of the group, ensuring DCC remains a credible and capable acquirer,” he added.
Shares in DCC were down 75p at 6,145p in early deals.