Annual profits spark at DCC
By Abigail Townsend
Date: Tuesday 14 May 2024
(Sharecast News) - Ireland's DCC reported a jump in annual profits on Tuesday, on the back of strong trading in its core energy division.
The FTSE 100 firm, a specialist in sales, marketing and support services, said group revenues in the year to 31 March fell 10.6% to £19.9bn, on the back of falling wholesale energy costs.
But adjusted operating profits sparked 4.1% at £682.8m, driven by "very strong growth" at DCC Energy.
The energy unit saw operating profits jump 9.9% to £503m. In contrast, DCC Technology reported a 13.6% slide in operating profits to £91.7m, because of a weaker market for consumer technology products, while DCC Healthcare saw a 4% fall to £88.1m.
DCC Healthcare - which returned to organic growth in the second half - posted record revenues of £859.4m, however, following the acquisition of medical devices specialist Medi-Globe, which completed in September.
Donal Murphy, chief executive, said it had been a year of "growth, development and strategic progress".
He continued: "The very strong growth delivered by DCC Energy was the highlight of the year, and it is also encouraging that DCC Healthcare returned to organic growth.
"We are executing our Cleaner Energy in Your Power strategy in DCC Energy, and have real momentum as we build the offerings that enable customers to make clearer energy choices."
Looking to the current year, DCC said it expected another year of "strong operating growth" alongside ongoing development activity.
DCC also announced on Tuesday that it had agreed to buy Next Energy, an energy efficiency and renewable energy services provider, for £90m.
"This acquisition will add to DCC Energy's share of profits from services, renewable and other products, which reached 35% this year, demonstrating progress and momentum," noted DCC.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN