# Intertek Group PLC Good organic revenue growth

- Link: https://www.directorstalkinterviews.com/intertek-group-plc-good-organic-revenue-growth/412756353
- Published: 2018-08-07T07:24:00+01:00
- Author: Charlotte Edwards

**[Intertek Group PLC](https://www.directorstalkinterviews.com/ftse-company/intertek-group/itrk.l)**(
LON:ITRK), today announced half year result 2018.

**Highlights**

· Group revenue of £1.348bn: +3.9% at constant rates, -1.8% at actual rates

· Good organic revenue growth of +3.4% at constant rates: Products +5.7%, Trade 
+0.7%, Resources -0.7%

· Acquisitions in attractive growth and margin sectors expanding our TQA value proposition

· Portfolio strength and cost discipline driving adjusted margin progression: +40bps
at constant rates, +50bps at actual rates

· Robust adjusted diluted EPS growth: +6.8% at constant rates, +0.9% at actual rates

· Statutory diluted EPS growth of +7.6% at constant rates, +1.5% at actual rates

· Continuous focus on cash with working capital reduction of 6.5% at actual rates

· Half year dividend payment of 31.9p, up 35.7%, in line with our new dividend policy

A video outlining the Half Year Results is available on the Group’s website – http://
www.intertek.com/

> **Intertek Group, André Lacroix: Chief Executive Officer statement**
> “The Group has continued to deliver progress in revenue, margin and cash performance
> in the first half at constant rates, reflecting the Group’s performance management
> discipline focused on margin accretive revenue growth with strong cash conversion
> and accretive disciplined capital allocation. We are well positioned to deliver
> in 2018 good organic revenue growth with moderate group margin progression at 
> constant currency and strong cash conversion.
> The Products and Trade related divisions, which represent 94% of the Group’s earnings,
> delivered an excellent performance with revenue growth of 4.9% and adjusted margin
> expansion of 40bps at constant rates, while our performance in the Resources related
> division showed improved momentum. The recent acquisitions in high margin and 
> high growth areas performed well.
> In line with our new dividend policy that targets a payout ratio of circa 50%,
> and fueled by our high margin and highly cash generative earnings model, we have
> announced a half year dividend of 31.9p, an increase of 35.7%.
> We are on track on our ‘good to great’ journey, making progress on both performance
> and strategy. We continue to be uniquely positioned to benefit from the GDP+ organic
> revenue growth prospects in the $250 billion global Quality Assurance Industry
> in the medium to long term, leveraging our high quality and highly cash generative
> earnings model.”

** **

 

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