Berendsen suffers slight revenue decline but dividend increases

Berendsen, the FTSE 250 European textile maintenance company, posted a slight drop in full year revenue, but investors were consoled with a nine per cent increase to the total dividend to 25.5p from 23.4p the previous year.

Group revenue fell 1.0% to £985.1m (2011: £992.0m), although on an underlying basis rose 2.0%, boosted by a 3.5% increase in revenue in its Core Growth businesses, which had a stronger second half.

The adjusted operating margin increased 70bps to 14.8%, the adjusted profit before tax climbed 7.0% from £111.8m to £120.0m, with adjusted earnings per share climbed 8.0% from 48.4p to 52.2p.

The final dividend was increased 16p to 17.5p.

Statutory profit before tax climbed 20% from £79.3m to £94.9m.

Iain Ferguson, the Chairman of Berendsen, said: "We are pleased to report this strong set of results, with our business line structure delivering benefits ahead of schedule in its first full year."

Looking ahead, he added: "The board expects trading trends in 2013 to be similar to last year and for Berendsen to achieve another year of good progress."

Cash and equivalents at the year ended climbed to £125.1m from £93.1m a year earlier.

The share price rose 1.54% to 692.50p by 11:10.

NR