Dignity delivers progress across the board

FTSE 250 funeral homes group Dignity reported progress from each of its three operating divisions in its preliminary results for the year ended December 28th.

Underlying profit before tax rose 11% to £46.1m (2011: £41.6m) on revenues of £229.6m, up from £210.1m a year earlier.

Underlying earnings per share climbed 14% from 55.1p to 62.8p, while basis earnings per share came in at 65.1p (2011: 62.6p).

The interim dividend was increased 10% from 4.87p to 5.36p, giving a total dividend of 10.75p (2011: 9.77p).

During the period the company invested £10.6m on the acquisition of 18 funeral locations, while two creatoria also became operational during the period.

Mike McCollum, the Chief Executive of Dignity, said: "I am pleased with the performance of the group. Client satisfaction remains exceptionally high, underlying operating profits increased eight per cent and underlying earnings per share increased 14%. Each operating division has made good progress in the year and is well placed for the future.

"The board remains confident in the group's prospects and its expectations for 2013 remain positive and unchanged."

The share price rose 0.15% to 1,301p by 09:20.

NR