(RTTNews) - Aggreko plc (AGK.L) on Thursday reported loss before tax of 134 million pounds for the first half of fiscal 2020, compared to profit before tax of 60 million pounds a year ago. Loss per share was 57.75 pence, compared to earnings of 15.33 pence in the prior-year period.
On an underlying basis, profit before tax rose decreased 13 percent to 47 million pounds.
Group revenue for the half year declined to 667 million pounds from 768 million pounds in the previous year. Underlying Group revenue declined 12 percent from last year, driven by the impact of COVID-19 and the lower oil price.
Aggreko said its board of directors has approved the payment of an interim dividend of 5 pence per share for 2020. The company noted that the reduction on the prior year does not represent a change in the Group's dividend policy, but rather reflects lower current year earnings and a continued level of market uncertainty.
Looking ahead to the full year, Aggreko said it currently expect to deliver a pre-exceptional profit before tax in a range 80 million to 100 million pounds.
Looking further ahead, Aggreko said it continues to expect the Group to deliver improved margins and achieve its mid-teens ROCE target, despite expectations of a slower economic recovery.
Separately, Aggreko said it has appointed Mark Clare as a non-executive Director and Chair Designate, with effect from 1 October 2020. Mark is currently Chair of Grainger plc, Senior Independent Director of United Utilities Group plc and a Non-executive Director of Premier Marina Holdings Limited.
Aggreko noted that subject to shareholder approval of his election to the Board, Mark will become Chair of the Board following the company's 2021 Annual General Meeting.
This will allow for a managed and orderly transition from the current Chairman, Ken Hanna. Ken will step down as Chairman and Non-executive Director at the conclusion of the 2021 Annual General Meeting.
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