Manor Park boosts DCC profits

DCC today announced that its profit contribution from its 49% owned associate company, Manor Park Homebuilders Limited, is expected to be materially better than market expectation in the year to 31 March 2006.

However, it added that the profit contribution may be materially less in the year to 31 March 2007.

This is due to Manor Park earning a significant profit on a transaction completed on Friday last, March 31, 2006, which DCC had expected to happen in the year to 31 March 2007.

DCC said it expects to report group operating profit, before contribution from associates, for the year to March 31, 2006 in line with market expectation.

DCC expects to report early double digit growth in its adjusted earnings per share for the year to March 31, 2006, but the corresponding growth for the following year is expected to be approximately 5% below market expectation.

DCC chief executive/deputy chairman, Jim Flavin, said: “The value of DCC’s investment in Manor Park has significantly increased over the past year. Manor Park has a large landbank for housing development and other projects in the pipeline from which it should earn substantial profits in the future.”