Strong growth in revenue and profit in H1
Positive organic growth trend continues into H1: +1.9% year on year (FY 2014: +1.2%)
Pest control particularly strong: revenue growth +9.6% (+4.8% organic)
Free cash flow of £55.4m, on track to meet £100m+ target for the full year
Continued M&A execution: 14 bolt-ons (12 in pest) with combined annualised revenues of £21m
Further reduction in net debt to £730m, £129m lower than H1 2014
Interim dividend increased by 13% to 0.87p
Expectations for the full year are unchanged
Commenting on the 2015 interim results Andy Ransom, CEO of Rentokil Initial plc, said:
"In February 2014 we set out our new differentiated strategy and introduced medium-term targets for mid-single digit revenue growth, high-single digit profit growth and a significant improvement in cash generation.
"We have continued to implement our strategy at pace and made further good progress in the first half of 2015, delivering ongoing revenue growth of 5.2%, profit growth of 8.0% and free cash flow of £55m.
"While prospects in the majority of our key markets are good, conditions in certain parts of Europe remain challenging, particularly in France and the Netherlands. We are nonetheless on track to achieve our 2015 revenue, profit and cash expectations.
"Overall I am encouraged by the progress that we have made over the last eighteen months and I am confident of delivering further value for shareholders as we enter the next phase in the execution of our plan."
