DCC Q3 operating profit in line with expectations, French consumer business remains challenging
Source - SMW
DCC said operating profit in the third quarter was in line with expectations and announced that its DCC Healthcare business acquired Elite One Source Nutritional Service, for an enterprise value of $50m.
Operating profit in DCC LPG was also in line with expectations and the prior year despite the headwind of an increasing cost of product. DCC Retail & Oil recorded good growth in operating profit, driven by strong organic profit growth in Denmark and Fuel Card, while DCC Healthcare also recorded strong growth in operating profit.
Operating profit in DCC Technology was ahead of the prior year, benefiting from acquisitions and a good organic performance from the UK and Ireland.
The company warned, however, that the French consumer products business remains challenging but a number of operational changes are underway to improve performance.
DCC said despite the mild start to the fourth quarter, it expects that both operating profit and adjusted earnings per share will be well ahead of the prior year and in line with current market consensus.
At 8:01am: (LON:DCC) DCC PLC share price was +52.5p at 7052.5p