Travis Perkins increases its 2015 interim dividend by 20.4%

DividendMax Ltd.

Travis Perkins increases its 2015 interim dividend by 20.4%

Highlights

  • Revenue increased by 7.8% with like-for-like revenue up 5.7% (16.5% on a two-year basis)
  • Adjusted operating profit, excluding the impact of property profits, increased by 9.0% to £182m
  • Adjusted EPS increased by 1.5% to 54.2p, lower than the growth in adjusted operating profit due to lower property profits and non-cash charges relating to foreign exchange contracts
  • Interim dividend increased 20.4% to 14.75p, reflecting confidence in future growth prospects
  • Gross capital investment of £131m, including £45m of freehold property investments
  • Network expansion continued, with 49 new branches and stores and a further 15 implants to better utilise existing space
  • Lease adjusted net debt maintained at £1.8bn
  • Lease adjusted return on capital employed was maintained at 10.5% reflecting timing of property profits and capital investment to drive on-going market outperformance and sustainable growth

John Carter - Chief Executive Officer said:

"The Group has delivered a strong underlying performance in the first half. Our key strategic priorities are unchanged; modernising General Merchanting, transforming Wickes and completing the Plumbing & Heating re-segmentation programme. We continue to anticipate a full year result in line with expectations and delivering against our targets including low double-digit profit growth and sales outperformance of our markets. In support of these targets we have increased both capital and operational investment in our businesses to improve our customer propositions across range, availability and value, whilst allowing us to leverage the scale of the business."

(1)Details of non-GAAP measures can be found in notes 5, 11 and 12.
(2)The term "adjusted" is used to signify that the effects of exceptional items, amortisation of intangible assets and the associated tax impacts have been excluded from the disclosure being made.

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