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Business & education services

Aggreko forecasts profits will be ahead of guidance, cuts down debt

The provider of power generation equipment previously guided for 2020 pre-tax profits of between £80mln-£100mln

Aggreko PLC (LON:AGK) has said it now expects its pre-tax profits for 2020 will be “slightly ahead” of the top end of its guidance range of £80mln-£100mln as a result of what it said was a “continued recovery” in activity levels across a number of its markets.

In a brief trading update, the FTSE 250 provider of temporary power generation equipment also said a “strong cash performance” in the second half had resulted in a reduction in net debt of around £200mln.

READ: Aggreko gains from rescheduled Tokyo Olympics date

Aggreko added that it is also retaining its guidance from a previous update in November, which forecast a 2021 pre-tax profit for the group of between £170mln-190mln.

The company’s shares rose 1.3% to 648p in early trading on Wednesday.

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