DCC plc (LON: DCC), the leading international sales, marketing and support services group, has today issued a Interim Management Statement in advance of the Company’s AGM to be held in Dublin at 11.00 am today.
First quarter ended 30 June 2019
DCC traded in line with expectations and delivered good growth in Group operating profit for the first quarter ended 30 June 2019, driven by acquisitions completed in the prior year.
Year ending 31 March 2020
DCC’s profits are significantly weighted towards the second half of its financial year. At what is still a very early stage in the financial year, the Group reiterates its belief that the year ending 31 March 2020 will be another year of profit growth and development.
Development activity
DCC Technology recently completed the acquisitions of Comm-Tec in Germany and Amacom in the Netherlands, following receipt of customary regulatory approvals. Both Comm-Tec and Amacom will significantly enhance DCC Technology’s service offering in Continental Europe and will strengthen its relationships with suppliers and customers in the region.
DCC Retail & Oil also recently finalised the creation of a new branded aviation fuels marketing and distribution business in Denmark with Shell Aviation, which involved Shell Aviation purchasing an interest in DCC’s existing Danish aviation fuels business.
Further detail regarding each of the above transactions is included in DCC’s Development Update announcement of 14 May 2019.
DCC has grown substantially in recent years and now has significant operations across 18 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.
Disposal
DCC Vital recently entered into an agreement to dispose of its UK generic pharma activities and related manufacturing facility in Ireland (Kent Pharma and Athlone Laboratories), subject to regulatory and other consents. The disposal will sharpen the strategic focus of DCC Vital, allowing it to concentrate on those areas where it has market leading positions and sustainable competitive advantage, in particular in the sales, marketing and distribution of medical products in Britain and Ireland. DCC Vital will also continue to develop its pharma activities in Ireland which encompass a market leadership position in the procurement and sales of Exempt Medicinal Products and agency distribution into the hospital and retail pharmacy segments.
Forthcoming events
DCC plc expects to announce its interim results for the six months ending 30 September 2019 on Tuesday 12 November 2019.
