Dignity profit rises as expansion gathers pace

Funeral services provider Dignity reported an increase in underlying profit for the nine months ended 30 September as it acquired new funeral locations.

Underlying operating profit rose to £48.4 for the 39 weeks to September from £45m the year before. Revenue for the period rose 7.3% to £155.8m.

Dignity said it has acquired three funeral locations and seven new satellite locations have been opened since July.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

"The Group remains on track to open its crematorium in Worcestershire in the fourth quarter of 2011 and its crematorium in Essex in the second quarter of 2012," Dignity explained.

The West Midlands firm has also been announced as the preferred bidder to operate one crematorium and three cemeteries on behalf of Haringey Council. This is expected to be effective during the first quarter of 2012.

Trading since 30 September 2011 continues to be in line with management's expectations and full year expectations remain unchanged.

Pre-arranged funeral plan sales continue to be strong.

--

cj