Dublin-based energy-focused support services group DCC upbeat over annual prospects

DCC has said it remains “ambitious” to continue its growth in existing and new territories and retains “a strong, well-funded, and liquid balance sheet” in order to fund such intentions.

In a brief trading update covering the third quarter of its current financial year — the three months to the end of December — the Dublin-based energy-focused support services group said it continues to expect that both full-year operating profit and adjusted earnings per share will be “very significantly” ahead of the prior year.

The group — which switched its share listing to London and its reporting currency to sterling three years ago — generated total operating profits of £228.2m in its last financial year.

For the third quarter, DCC also said that profit growth was “very strong”, driven by its DCC Energy business which showed significant annualised growth, despite milder winter conditions.

The two large acquisitions completed earlier in the financial year, Esso Retail France and Butagaz, performed in line with, or modestly ahead of, expectations, management said.

They added that the current financial year — which runs to the end of March —has been a milestone year for the group’s development.

“The group continues to deliver significant profit growth, largely independent of the economic backdrop.

"We think there are very few industrial companies, globally, that can deliver this type of performance currently. The balance sheet is in excellent shape and acquisition opportunities remain large,” Davy Stockbrokers said in a research note yesterday.