Profits jump at Diploma

Diploma, the specialised technical products and services provider, has seen a 47% rise in pre-tax profit after revenues also soared during the full year ended 30 September.

Revenue rose 26% from £183.5m to £230.6m as businesses benefitted from strong demand and a good contribution from acquisitions; adjusted profit before tax up 39% to £44.9m.

Profit before tax rose from £26.7m to £39.2m, equivalent to earnings per share of 24p, up from 19.1p the previous year.

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Bruce Thompson, Diploma's chief executive said: "It has been an excellent year for Diploma with group revenues increasing by 26% and adjusted profits up 39%, with all of our sectors reporting strong double digit underlying increases.

"Although global economic uncertainty continues, we see good opportunities for future development, both organically and through carefully selected, value adding acquisitions.

"The group has a strong balance sheet and is well diversified by geography and business area. The board has confidence that further progress will be made in the new financial year."

The firm has recommended a 37% increase in the final dividend from 6.2p to 8.5p.

The share price rose 2.55% to 310p to 08:21.

NR