DCC ‘on course’ for bumper financial year

DCC has said it remains on course to deliver a “significantly” improved profit performance for its current financial year, and that it is “well-placed” to continue its international expansion.

The Dublin-headquartered diversified support services group — which now has its main share listing in London and sterling as its reporting currency — yesterday published an upbeat trading update to coincide with its agm.

In it, the group — whose financial year runs until the end of March — said overall operating profit for its first quarter (the three months to the end of June) was in line with budget and strong growth was seen across the energy, healthcare and environmental divisions; albeit with a weaker performance evident from the DCC Technology business.

“At what is still a very early stage in the financial year [DCC’s profits are significantly weighted towards the second half of its fiscal year] the group continues to anticipate that operating profit and adjusted earnings per share, on a continuing basis, will be very significantly ahead of the prior year,” the group said.

DCC last year generated operating profits of nearly £222m (€318m) and has since made a number of significant European-based acquisitions, via its energy division.

The completion by the end of calendar year 2015 of one of those, the takeover of French energy firm, Butagaz — together with the usual ‘normal winter weather conditions’ caveat — are what DCC is basing its upbeat profit assessment on.

“DCC remains ambitious to continue the growth and development of its business,” the company said, adding it is financially “well-placed to continue the development of its business in existing and new geographies.”