DCC plc (LON:DCC), the leading international sales, marketing and support services group, has today issued this Interim Management Statement for the third quarter ended 31 December 2019.
Third quarter ended 31 December 2019
Notwithstanding the more difficult macroeconomic environment, particularly in the UK, and relatively mild weather conditions, DCC delivered a good trading performance in the third quarter of the financial year and Group operating profit for the period was in line with expectations.
DCC LPG continued to perform strongly and delivered good organic profit growth and also benefited from the contribution of Pacific Coast Energy, acquired earlier in the financial year. DCC Retail & Oil performed in line with expectations and benefitted from a good performance from the division’s retail activities. Following the disposal of its UK generic pharma business during the first half of the year, DCC Healthcare delivered good like-for-like profit growth and successfully completed the previously announced acquisition of Ion Labs during the quarter. As anticipated, trading in DCC Technology’s UK business was impacted by the general weakness in the UK technology market, reflecting the more difficult economic environment. The remainder of the Technology division recorded good growth.
DCC has grown substantially in recent years and now has significant operations across 20 countries, with market-leading positions in each of its LPG, Retail & Oil, Technology and Healthcare divisions. DCC’s ambition and capacity for further development, together with the Group’s leading market positions and increased geographic reach, provide substantial opportunity for the continued growth and development of the business.
Year ending 31 March 2020
Assuming normal weather conditions for the balance of the financial year, the Group reiterates its belief that the year ending 31 March 2020 will be another year of development and good growth in Group operating profit, in line with current market consensus expectations.
DCC expects to announce its results for the year ending 31 March 2020 on 19 May 2020.